Nvidia shares sink after it cuts Q4 revenue estimate by half a

Nvidia Corp on Monday cut its fourth-quarter revenue estimate by half a billion dollars due to weak demand for its gaming chips in China and lower-than-expected datacentre sales, sending its shares sliding 13 per cent.“Q4 was an extraordinary, unusually turbulent, and disappointing quarter,” said Chief Executive Officer Jensen Huang said.A raft of earnings, analyst notes and market commentary in recent weeks have confirmed that a slowdown in the world’s No.2 economy, exacerbated by an ongoing trade war with the United States, will continue to squeeze sales and profits at technology companies. Chinese investment in Canada cut by nearly half as diplomatic spats, currency controls take toll Stocks around the world fell after China revealed worst growth since the financial crisis China’s slowdown looms just as the world needs its growth the most The company forecast revenue of US$2.20 billion for the quarter ended Jan. 27, down from its earlier forecast of US$2.70 billion. Both numbers were plus or minus 2 per cent.Analysts on average had forecast revenue of US$2.7 billion, according to Refinitiv data from IBES.Nvidia said sales of its next generation “Turing” graphic chips were also below expectations as some customers delayed their purchases.The company will report its fourth quarter results on Feb. 14.© Thomson Reuters 2019