Before the bell: Nvidia takes a hit

More questions than answers from Nvidia’s earnings, while Albemarle receives fan mail from UBS.

The Bel20 (+0%) and Euro Stoxx 50 (+0.2%) went nowhere yesterday, likely as markets waited for Nvidia’s results later in the evening. A notable decliner on our side was lingerie group Van de Velde, whose shares dropped 7.5% after disappointing results. In the United States, trading was also muted. The S&P 500 and Nasdaq both inched 0.2% higher. Lithium player Albemarle Corp (+7.5%) was celebrated after UBS published a bullish note, arguing that lithium prices are set to rise due to disruptions in China’s supply chain.

This morning in Asia, Japan’s Topix climbed 0.5% while Hong Kong’s Hang Seng Index fell 0.8%. Today in Belgium, we’ll get results from CFE, CMB.Tech (formerly Euronav), and Qrf. In the Netherlands, Eurocommercial Properties and HAL Trust are reporting. In the U.S., a packed schedule includes earnings from Best Buy, Dollar General, Marvell, Dell, Ulta Beauty, and Gap.

More questions than answers at Nvidia

Nvidia reported quarterly revenue of 46.7 billion dollar, slightly ahead of analyst expectations. Data center revenue reached 41.1 billion dollar, up 5% from the prior quarter but still shy of forecasts. Sales of the latest Blackwell chips rose 17%. Quarterly profit came in at 1.05 dollar per share. Despite these strong numbers, the company struck a cautious tone in its outlook. This may suggest that hyperscalers like Microsoft, Meta, Alphabet, and Amazon are dialing back AI spending slightly. The results do not include sales of the less advanced H20 chips to Chinese customers. On the one hand, that’s positive, as it means there is still room for revenue growth once sales to China resume. On the other hand, China is doubling down on developing its own chips to compete with the American giant. Nvidia’s results, therefore, left investors with more questions than answers. The stock fell 3% in after-hours trading on Wall Street.

Will we all soon be wearing Indian make-up?

Nykaa, India’s popular online beauty platform, is heading to the United Kingdom. The move comes through a partnership between Nykaa’s parent FSN E-Commerce Ventures Ltd—the country’s largest beauty retailer—and Ulta Beauty, which happens to report its earnings today. FSN is already active in the Middle East, selling beauty products there through partnerships with retailers such as Apparel Group. In India itself, demand is booming as the growing middle class has more to spend, but the company’s ambitions clearly extend far beyond its home market. Shares of FSN have already gained nearly 40% this year on the Mumbai stock exchange.

Did you know…

the largest American pawnshop operator, with over 3,300 locations, is coming to the United Kingdom? Texas-based FirstCash is acquiring H&T Group as it looks to expand its footprint to the old continent.

This article was translated from Dutch and was originally published on Spaarvarkens.be.