In this episode of The Circuit, hosts Ben Bajarin and Jay Goldberg dive into the latest tectonic shifts across the technology and semiconductor sectors, starting with a deep dive into Nvidia&#x27;s recent earnings report . They analyze Nvidia&#x27;s impressive numbers—including $91 billion in revenue guidance and strong gross margins—and contrast that success with the stock&#x27;s stagnant post-earnings performance, comparing the current market skepticism to Apple’s smartphone growth cycle around 2010 . The duo breaks down Nvidia&#x27;s new segment reporting structure, debating the strategic implications of blending networking into data center revenue and splitting the segment into hyperscalers and &quot;Neo clouds&quot; . Ben then shares his first-hand observations from Dell Tech World, highlighting emerging enterprise trends like the financial motivations driving a shift back toward on-prem AI infrastructure to curb unsustainable cloud token spend . Finally, they wrap up the episode by examining two major recent IPO filings: Elon Musk&#x27;s multifaceted SpaceX S1 and the rare, high-growth prospectus of China’s largest memory maker, Chongqing Memory Technologies (CXMT) .

EP 166: NVIDIA Earnings, Dell Tech World and Storage Shock, Tech IPOs

The Circuit

# Full Transcript

**Podcast:** The Circuit

## Participants

- **Ben Bajarin** (The Circuit)
- **Jay Goldberg** (The Circuit)

## Transcript

Hello everyone, welcome to another episode of The Circuit. I am Ben Bajarin. Greetings agents, I'm Jay Goldberg. Well Jay, it is another week that has felt like a month in this industry as so much continues to happen and so much continues to move at a pace that my brain continues to struggle to understand.

And, you know, I also say this too, like, you know, when we, you know, us analysts cover a lot of different things, you end up having a lot of different conversations. So like my week has been across semiconductors, software, power and utilities, co-packaged optics and optical across the board.

Like, it's been a topically diverse week, just to say the least. And we had NVIDIA Earnings and other things alike, so yes. And spaceships. And spaceships. Spaceships with, yeah, lasers in space also. Great. So tremendous. All right, let's start with NVIDIA Earnings. I know that's what everybody's probably like.

I'm going to listen this week because I want to hear them talk about NVIDIA. Yeah, I'm going to let you start, but my sort of high-level, you know, intriguing observation is this is now the second quarter in a row. So things have been very good, very clean. Every note has been positive. NVIDIA remains well-positioned on its growth path. And the stock did nothing. Not a... Almost every note was positive. Sorry. Except for J's.

Not saying, not naming names. Just saying almost every note. But, okay, I do want to talk a little bit about the narrative why. But anyway, it's just interesting that back-to-back quarters, everybody's kind of like, you couldn't have done any better. But, eh, you know, we're not... Now, again, I have theories why. So let's move that aside. Let's talk about the earnings.

Let's talk about the new reporting structure because I do think there's some interesting applications there. And then kind of the, like, what's going around the narrative point at the end. So I'll let you start. So NVIDIA had a good quarter. No notes. Good quarter. No notes. Right? Right? Revenue above, above, uh, guidance, above estimates, uh, good margins, 75% gross margins.

Um, and then they guided very strongly. They guided to $91 billion in revenue for next quarter. Again, with good margins, which is a strong, a strong number. Um, but not strong enough, apparently, because the stock has been down every day since. And we can get into why. But, like, just on the, just on the numbers alone, good, good numbers. Right?

And, you know, everything moving there. Oh, and they, they increased their dividend from one cent to 25 cents. Which is, like, that's a big, that's a big increase. Yeah. Um, okay, so let's talk about the reporting structure. Um, it's, it's interesting to me.

And I think there was some commentary around, um, like, kind of what's the signal we interpret for them doing this. Um, but let's start with...

EP 166: NVIDIA Earnings, Dell Tech World and Storage Shock, Tech IPOs

Transcript

Built for investment professionals

Every day you wait, your competitors are finding
edge in conversations you're not hearing.

EP 166: NVIDIA Earnings, Dell Tech World and Storage Shock, Tech IPOs

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.