Nvidia’s Q2 Growth Masks China Headwinds, But Is NVDA Stock Still a Buy on the Dip?

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It reported $46.7 billion in revenue, beating expectations, with data center sales leading the way at 56% year-over-year growth. Notably, the momentum in Nvidia’s data center business continued even in the absence of Chinese H20 shipments.NVDA’s Data center revenue also grew sequentially despite a $4 billion drop in H20 sales. This indicates that Nvidia’s growth isn’t tied to a single market. Instead, demand for its AI technology is broad-based, spanning multiple industries and regions worldwide.Dear Broadcom Stock Fans, Mark Your Calendars for September 4After a 222% Surge, Is SoFi Stock Headed Even Higher?CEO Alex Karp Just Sold $60 Million in Palantir Stock. Should You Ditch PLTR Here Too?Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines.Despite its strong quarterly numbers and upbeat outlook, which point to continued sequential top-line growth, the market’s response was underwhelming. NVDA stock slipped in after-hours trading as investors focused on one key detail: data center sales. While the division reported massive revenue of $41.1 billion, it fell just shy of the $41.34 billion consensus estimate.However, for long-term investors, this should hardly be viewed as a setback. The dip in shares looks more like market noise than a meaningful signal. Nvidia’s underlying story remains intact as demand for its GPUs continues to outstrip supply, and the secular shift toward AI, cloud computing, and accelerated workloads provides the company with a multi-decade runway of growth. With a robust product pipeline and solid competitive positioning, Nvidia is still the top beneficiary of the AI era.www.barchart.comLooking ahead, the structural drivers of Nvidia’s growth remain intact. Management estimates that global AI infrastructure investment will reach $3 trillion to $4 trillion by the end of the decade, creating a multi-year growth opportunity for Nvidia, thanks to its leadership in GPUs and networking systems. The company’s innovative products translate into monetizable gains for data center operators, in turn supporting its growth.Nvidia’s Blackwell platform has emerged as a key growth catalyst for the company. Its revenue reached record levels in Q2, growing 17% sequentially. Production shipments of the GB300 began during the quarter, while demand across cloud providers, enterprises, and government-backed AI initiatives helped fuel momentum.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,460.26 -41.60 (-0.64%)Dow 3045,544.88 -92.02 (-0.20%)Nasdaq21,455.55 -249.61 (-1.15%)Russell 20002,366.42 -11.99 (-0.50%)VIX15.36 +0.93 (+6.44%)Gold3,516.10 +41.80 (+1.20%)PortfolioSign in to access your portfolioSign inTop gainersAMBA Ambarella, Inc. 82.48 +11.85 (+16.78%)IREN IREN Limited 26.48 +3.44 (+14.93%)BABA Alibaba Group Holding Limited 135.00 +15.43 (+12.90%)AFRM Affirm Holdings, Inc. 88.46 +8.47 (+10.59%)DOOO BRP Inc. 62.98 +5.49 (+9.55%)Top losersMRVL Marvell Technology, Inc. 62.87 -14.36 (-18.60%)CHA Chagee Holdings Limited 19.11 -2.89 (-13.14%)RMBS Rambus Inc. 73.77 -7.32 (-9.03%)DELL Dell Technologies Inc. 122.15 -11.90 (-8.88%)BLSH Bullish 59.03 -5.40 (-8.38%)Most activeWBA Walgreens Boots Alliance, Inc. 11.98 0.00 (0.00%)OPEN Opendoor Technologies Inc. 4.4500 +0.1800 (+4.22%)NVDA NVIDIA Corporation 174.18 -5.94 (-3.30%)LCID Lucid Group, Inc. 1.9800 -0.0900 (-4.35%)MRVL Marvell Technology, Inc. 62.87 -14.36 (-18.60%)Earnings eventsMy earnings eventsEarnings eventsTrending tickersBABA Alibaba Group Holding Limited 135.00 +15.43 (+12.90%)FLYY Spirit Aviation Holdings, Inc. 1.2200 -0.0300 (-2.40%)BTC-USD Bitcoin USD 108,568.09 -3,865.47 (-3.44%)ORCL Oracle Corporation 226.13 -14.19 (-5.90%)IPDN Professional Diversity Network, Inc. 6.69 +4.74 (+243.96%)Top economic events