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The CEO of Nvidia, Jensen Huang, delivers an opening speech at the Consumer Electronics Show in Las Vegas, Nevada, on January 6, 2025.
Patrick T. Fallon | AFP | Getty images
More than two years after the artificial intelligence generative boom, Wall Street is establishing an increasingly high bar for chips manufacturers.
When it comes to earnings reports, more recently Marvel technology – Good is not good enough. This is because investors previously reached the companies that made the infrastructure and devices in the heart of the AI economy, which requested the actions at historically high levels.
They are demanding results.
Marvell Actions shrunken 20% on Thursday, its most steep fall since 2001, after the orientation did not reach some high estimates. The company’s revenue forecast, as well as its results for the last quarter, advanced to the average estimation of analysts, according to LSEG, but Wall Street wanted more after the shares shot 83% in 2024.
“While Marvell reported a small rhythm and an increase, the guide was definitely below the purchase expectations,” Cantor analysts wrote in a report after the results.
Nvidia suffered a destination similar at the end of February, with its actions falling 8.5% the day after the leader in IA reports earnings and income that navigated past estimates. Actions of Micro Advanced Devices more than 6% fell In early February after exceeding expectations. The only worrying number for AMD was a failure in its data centers business.
Optical supplier CREDO TECHNOLOGY Paid 14% after the profits of Wednesday and another 10% during Thursday’s session despite the growth of triple digits income and optimistic orientation.
He Vaneck semiconductor ETF It dropped almost 6% this week after the 7% decrease last week. The ETF, whose main components are Nvidia, Taiwan Semiconductor manufacturing co. and BroadcomIt shot 72% in 2023 and almost 39% last year.
The challenge in Wall Street for chips manufacturers underlines the pressure that is as the construction of AI extends to its fourth calendar year. Trump administration tariffs and chips export controls have been added to investor concerns.
However, not all companies in space are receiving the same treatment. Broadcom Lost actions 6Of % During Thursday’s session in the period prior to quarterly profits, but the shares appeared 12% after hours in resultsincluding a strong infrastructure and income from semiconductors.
