1. Recent quarters show strong RPO growth, bolstering confidence in SMCI's $40 billion revenue outlook for FY26; 2. Stock expectations reflect margin erosion concerns, but this is seen as a positive sign due to bad news being priced in; 3. Valuations have dropped significantly, making the stock attractive with high growth potential; 4. The stock's performance against the SPX500 suggests potential for alpha generation; 5. A trend of result surprises below consensus is not ideal, but market expectations are not excessive; 6. Elevated net working capital intensity, particularly due to low payable days, is a risk to monitor.
Recent #revenue growth news in the semiconductor industry
1. Hims & Hers Health, Inc. (HIMS) reported $1.5 billion in revenue in 2024, with a 69% year-over-year increase and $126 million in GAAP net income. 2. The company's subscriber base reached 2.2 million, growing 45% year-over-year, with 55% of subscribers using at least one personalized treatment. 3. Hims & Hers' GLP-1 weight loss treatments contributed $225 million in incremental revenue, but regulatory and supply risks remain significant concerns.
1. The author upgrades Planet Fitness to a neutral rating due to a sharp acceleration in revenue and same-club sales in Q4. 2. The company plans to open 160-170 new gyms in FY25, with 5-6% same-club sales growth. 3. Key risks include potential churn after the New Year season and reliance on re-equipment sales, which could impact franchisee profitability.
1. Broadcom's AI revenue is projected to grow 45% y/y in Q2 2025; 2. The stock is valued at 39x forward free cash flow with potential revenue growth of 18% in fiscal 2025 and 23% in fiscal 2026; 3. Despite concerns over net debt, Broadcom's strong cash flow and AI dominance justify the valuation.
1. Credo Technology's stock is undervalued with a 0.52x adjusted PEG ratio, lower than the industry average; 2. The company reported a substantial revenue increase of 87% QoQ and 154% YoY in Q3; 3. Credo's growth is driven by high demand for connectivity and AI infrastructure, with reduced customer concentration risks.
➀ In the three months ended January 26, 2025, Nvidia's revenue grew 78% y-o-y, reaching $39.3 billion.
➁ Nvidia's datacentre business led the growth with a 93% jump y-o-y.
➂ Net income amounted to $22.1 billion in the quarter, which is roughly five times the company's full-year profit for fiscal 2023.
1. Intel's 18A process node is ready for customer projects, offering 15% better performance per watt and 30% better chip density than Intel 3. 2. Intel's Xeon 6 processors have been adopted by major partners like Dell, AT&T, and Cisco, reinforcing its position in the AI and data center market. 3. Despite recent revenue declines, Intel aims for 6% future growth driven by client computing, data center, AI, and foundry segments.
1. Palantir's 2024 strong results, including 38% YoY revenue growth and a $1.25 billion adjusted FCF, justify upgrading it back to a BUY. 2. The company's commercial revenue surged by 54%, balancing its reliance on government contracts and driving future growth. 3. Palantir's software, especially Palantir Prix, continues to deliver high margins and strong customer results, enhancing its valuation justification. Despite a lofty valuation, Palantir's rapid growth and AI-driven market demand make it a compelling investment opportunity for the decade.
1. Nvidia's Q4 results exceeded expectations with $0.89 EPS and $39.33B revenue, driven by strong data center performance and Blackwell GPU demand. 2. Despite 78.8% YoY revenue growth, after-hours trading was choppy due to high investor expectations and lack of 'positive shock value'. 3. Nvidia forecasts $43B revenue for Q1 fiscal 2026, exceeding analyst predictions, highlighting robust demand and supply constraints for AI chips.
1. Amplitude's stock fell slightly after its Q4 earnings report, creating a good buying opportunity. 2. The company expects revenue acceleration in FY25 due to improving retention and churn trends in a still-choppy macro environment. 3. The company's push upmarket is helping to drive strong ARR growth with a path to further expansion.
➀ In February 2006, Nvidia experienced a significant financial surge with a 24% year-over-year revenue increase and nearly tripled income.
➁ The company reported revenues of $583.8m for the first quarter of fiscal 2006, surpassing the $471.9m from the previous year.
➂ Nvidia's gross margin improved significantly, positioning the company at the center of the digital media revolution.
1. Cisco reported 9.4% revenue growth and 8% adjusted EPS growth, securing over $350 million in AI infrastructure orders in the last quarter; 2. The company's aggressive share repurchase activities and new buyback authorization highlight strong shareholder returns; 3. Despite tariff impacts, Cisco's FY25 guidance and strategic investments support a 5% organic revenue growth forecast.
➀ Shein, founded in 2008, has become one of the world's most valuable clothing retailers, with online revenue surpassing traditional fashion competitors like H&M and Zara.
➁ During the pandemic, Shein's online net sales soared from $2.5 billion in 2019 to $8.4 billion in 2020.
➂ Despite facing challenges, such as being banned in India, Shein is expected to generate $48 billion in online revenue by 2024, a significant increase from its 2018 net sales of $1.4 billion.
➀ SMIC reported $22.073 billion in revenue for the fourth quarter of 2024, a 1.7% increase from the previous quarter;
➁ The company's gross profit was $4.99 billion, with a gross margin of 22.6%;
➂ For the full year 2024, SMIC's revenue was $80.299 billion, a 27% increase year-over-year;
➃ The company's operating profit was $4.927 billion, down 45.4% the previous year;
➄ Capital expenditures for 2024 were $7.33 billion;
➅ The company's 8-inch standard logic monthly capacity the end of 2024 was 948,000 wafers;
➆ The average capacity utilization rate for the year was 85.6%;
➇ The company's first-quarter guidance for 2025 is a revenue increase of 6% to 8% from the previous quarter;
➈ The expected gross margin for the first quarter of 2025 is 19% to 21%;
➉ SMIC expects its revenue growth in 2025 to be higher than the average of comparable industries, with capital expenditures remaining roughly the same as in 2024.
1. Tower Semiconductor reported $387 million in revenue for the fourth quarter of 2024, a 5% QoQ and 10% YoY growth; 2. Gross profit was $87 million, and net profit was $55 million; 3. The company achieved an 18% growth in revenue from the first quarter to the fourth quarter of 2024.
1. Palantir's ontology unlocks scalability and operational efficiency, making it a key differentiator in the competitive AI landscape. 2. The company's financial results support this, with very strong revenue growth and margin expansion. 3. The author acknowledges PLTR's potential but cautions against its current high multiples and possible growth volatility.
1. Palantir Technologies reported a strong earnings beat, with revenue up 36% YoY and EPS beating estimates by 30%; 2. The company closed 129 deals worth at least $1 million in Q4, indicating robust future revenue; 3. Despite strong operational performance, Palantir's high valuation makes it less attractive compared to other high-growth AI companies.
1. SoFi Technologies reported strong Q4 results, exceeding revenue and earnings estimates; 2. Despite a slight EPS guidance miss for FY 2025, SoFi's financial services and Galileo segments drove significant revenue and adjusted EBITDA growth; 3. Shares dropped 10% after the guidance presentation, but growth prospects remain strong.
1. IBM is set to report Q4 '24 earnings on January 29, 2025, with sell-side consensus expecting $3.75 per share on $17.45 billion in revenue, showing a 3% y-o-y decline in EPS. 2. The company is also expecting $4.29 billion in operating income, marking a 14% y-o-y growth. 3. For Q1 '25, the consensus is looking for $1.56 in EPS, $14.6 billion in revenue, and $2 billion in operating income, with expected y-o-y growth of -7%, +1%, and +23% respectively.
1. Meta's $60 billion AI investment for 2025 mirrors past overspending on Reality Labs, risking questionable returns and monetization challenges. 2. Despite Reality Labs' losses, Meta's revenue grew 10% YoY, driven by its ads business, which remains 99+% of revenue. 3. Mark Zuckerberg's control and diverse interests could impact Meta's future investment decisions, posing a significant risk.