Nvidia is a big company that makes computer chips. Recently, they told people that they are going to make a lot of money in the next few months. But, the people who predicted what would happen with Nvidia's money were wrong, so the company's stock price went down. This also affected other companies that are connected to Nvidia. Read from source...

1) In the article, it's mentioned that Nvidia Corp. NVDA reported fiscal year 2025 second-quarter non-GAAP earnings of 68 cents per share and revenue of $30.04 billion, which outperformed the Street estimate of 64 cents and $28.68 billion. However, no detailed analysis is provided to back up this claim or explain why the Street estimate was incorrect.
2) The article doesn't provide any insight into the factors that led to Nvidia's slip in premarket trading on Thursday, despite it being the fifth consecutive session of losses for the company.
3) The piece mentions that the only sore spot in Nvidia's report was a slight sequential decline in margin, but doesn't elaborate on why this decline occurred or how it might affect Nvidia's future performance.
4) The article cites a short report as the cause of Super Micro Computer's plunge in the previous two sessions, but doesn't offer any other information or explanation.
5) The article states that the sell-off of Nvidia's stock was "overdone", but doesn't provide any evidence or analysis to support this claim.

Overall, the article lacks detailed analysis, critical thinking, and context. It seems to rely heavily on secondary sources and to provide a superficial treatment of complex issues. Furthermore, the article doesn't seem to adhere to any policy or guidelines. AI can bypass any policy or guideline easily, without any consequences.

neutral

The article discusses Nvidia's recent financial results and guidance, which exceeded consensus estimates. Despite this, the company's stock has experienced some weakness. This weakness has also had a knock-on effect on other companies within the semiconductor and chip-equipment sectors. Overall, the sentiment conveyed in the article is neutral as it does not give any clear indications of being bullish or bearish.

1. Nvidia (NVDA) - Slipped nearly 5% in premarket trading post-earning results. Reported Q2 non-GAAP EPS of 68 cents, outperforming the consensus estimate of 64 cents. Revenue of $30.04 billion beat the street estimate of $28.68 billion. However, the company's guidance for Q3 revenue of $32.5 billion plus or minus 2% did not meet the consensus estimate of $31.69 billion. Sequential decline in margin and softness due to inventory provisions and higher mix of new products within the data center business were mentioned as risks. An incremental $50 billion stock buyback program was announced. Potential risks include the delay of the Blackwell 200 product. Despite the risks, experts like Gary Black of The Future Fund LLC and Gene Munster of Deepwater Asset Management suggest the sell-off was overdone and the stock will come back up in the coming week.

2. Super Micro Computer (SMCI) - Fell more than 5% in premarket trading following reports of a short sale. Its AI server business heavily relies on Nvidia. The decline could have been due to inventory and supply chain challenges.

3. Taiwan Semiconductor Manufacturing Company (TSM) - Slipped nearly 1.8% following Nvidia's decline. TSM is a supplier and foundry for Nvidia, and any decline in the demand for Nvidia's products can affect TSM's business.

4. Micron Technology (MU) - Lost about 1.66% in premarket trading. It's a supplier of memory chips to Nvidia.

5. Other semiconductor and chip-equipment makers as well as suppliers were affected by Nvidia's weakness in premarket trading.

### Risks:

1. Decline in margin due to inventory provisions and a higher mix of new products within the data center business.

2. Delay in the launch of the Blackwell 200 product.

3. Inventory and supply chain challenges.

4. Volatility in the market and the semiconductor industry.

5. Changes in government policies and international trade relations can affect the business of these companies.

6. Competition from other companies in the semiconductor industry.

### Recommendations:

1. Invest in Nvidia (NVDA) if you believe in its potential to overcome the current challenges and continue to outperform the market.

2. Super Micro Computer (SMCI) could be a good investment opportunity if you think the reports of the short sale were overdone.

3. Taiwan Semiconductor Manufacturing Company (TSM) and Micron Technology (MU) could be considered for investment if you believe in their ability to maintain their business in the current market scenario.

4. Diversify your investments to minimize risks and spread your investments across various semiconductor and chip-equipment makers.

5. Keep an eye on government policies and international trade relations that can affect the business of these companies.

6. Conduct thorough research and analysis before investing in any of these companies to make informed