Sterne Agee Retains Neutral on NVIDIA, Tweaks Estimates
In a published company report, Sterne Agee reiterates its Neutral rating on NVIDIA Corporation (NASDAQ: NVDA) on results and guidance that was in-line with expectation. Estimates for next quarter adjust upward on modestly better margins.
Sterne Agee says, “NVDA reported F3Q12(Oct) Non-GAAP revenues/EPS of $1.066B/$0.35 versus consensus of $1.06B/$0.27 and our estimates of $1.06B/$0.31. Gross margins of 52.5% were better than consensus of 51.8%. Inventories decreased 11.7% q/q. Topline in-line with estimates, but better EPS on Flat Opex control and slightly better margins. … Management guided F4Q12(Jan) revenues flat q/q, in-line with consensus, and gross margins flat to up 50bps. Non-GAAP OpEx was guided $330M (vs. $318M in Q3) and a tax rate of 15%.”
NVDA closed at $14.47 on Thursday.
