Nvidia mining graphics card revenue reaches $155 million in 2021Q1

The bull market in the cryptocurrency industry has made the mining market even hotter, and most cryptocurrencies need to be mined through graphics cards, which makes NVIDIA graphics cards priceless.

Many miners are willing to buy Nvidia graphics cards from retailers at several times the official retail price, which has caused many ordinary users and gamers to be unable to purchase suitable graphics cards.

Therefore, Nvidia has also introduced restrictions to prohibit some graphics cards from being used for mining purposes. At the same time, Nvidia has also introduced professional graphics cards specifically for mining for miners.

However, the company’s investors are not optimistic about Nvidia’s launch of dedicated mining cards. It may be that Nvidia’s involvement in mining caused investors to worry about it.

As early as 2017, Nvidia had launched a dedicated mining card in compliance with the market, but the subsequent cryptocurrency market turned bears, which caused the stock price of Nvidia to plummet.

According to Nvidia’s official disclosure, its dedicated mining card-related revenue for the quarter of 2021Q1 reached $155 million, and it is expected that the dedicated mining card revenue for 2021Q2 could reach $400 million.

But after Nvidia’s announcement, the company’s after-hours trading price dropped slightly. This shows that investors still have doubts about Nvidia’s involvement in the cryptocurrency mining market. After all, selling game graphics cards is a more secure business and income is very stable.

If Nvidia’s special mining card products squeeze like in 2018 again and seriously affect cash flow, it may cause Nvidia’s stock price to enter a downward trend.

Although NVIDIA did not explain the relevant content of the inventory but based on the current market situation, these concerns of investors may be slightly redundant.

Because semiconductor products are currently in short supply and graphics card products are out of stock, it is even more serious. Nvidia cannot accumulate too much inventory even if it cannot be relieved in a short time.