NVDA earning: Good and Bad

Good:

• Beat both revenue and EPS, which is expected.
• Raised guidance for next quarter for almost $4B. First time NVDA raise forecast by more than $2B since June of  2024
• Gross Margin improvement to 75% (very positive sign)
• Confirmed $500B pipeline again

Bad

• While $4B revenue projection increase is the largest for over a year, it is not enough to fill the gap between the current estimate and that magic $500B number. Just to put things into perspective, the current wall street revenue estimate for NVDA's next 5 quarters is $350B-$360B, so, in order for NVDA to hit $500B, they need "much larger" suprise. Some investors might have hoped for more upside guidance
• China business still shut down for NVDA

Overall, I dont think NVDA can break its previous ATH with this earning, but on the flip side, any significant selling will be a "clear" buy on the dip for NVDA shares