NVIDIA STOCK DROPS -$37/share (-$18%) : $53mm loss in Q3 due to old Pascal inventory - YET I CAN'T find a 1080ti ANYWHERE for MSRP?????

[hazeyez]

Nvidia explained that it is holding on to too many of its older-generation Pascal chips — Pascal is the chip architecture that is being replaced by Nvidia’s recently released Turing chip architecture for professionals and gamers.

That wreaked havoc with Nvidia’s forecast for the fourth quarter as it seeks to work down that inventory. The company called for revenue of $2.65 billion to $2.75 billion, while analysts on average had expected revenue of $3.4 billion. While clearing out old inventory was not a complete surprise, the magnitude of it was. “We were surprised obviously,” Huang said on the call. “I mean we’re surprised by it as anybody else. The crypto hangover lasted longer than we expected. Prices started to drift down and we expected to come down much more quickly than it did.”

 

READ FULL STORY HERE

 

SEE STOCK TICKER HERE

 

So - They posted a $53 million loss in Q3 because of old inventory - yet we can't find a 1080ti @ MSRP anywhere? Microcenter, Newegg, etc - 90% of GPU products sold out / on back order. 2080ti is near impossible to find right now on retail, not bought 2nd-hand.

 

[Slottr]

Consider that maybe the old inventory isnt of 1080ti's?

[Ashley MLP Fangirl]

nvidia logic, lets not sell our old inventory, no no, why would we sell products to thousands of people. ridiculous. 

[GoodBytes]

Nvidia (mostly) makes and sells GPUs, not graphics cards (ok they do make graphics cards, but Titans mostly, and started recently to make Founder Editions models of select cards for consumers, which cost more and not as good). Graphics card manufactures are not buying them, probably because they don't want to be stuck with ones that don't sell.

 

So,

• Nvidia is stuck with too many GPUs, especially that they miss judge miners future demand.
• Manufacture are not making them because now the 10 series is old, or only doing low production number, making the production price increase, increasing the price at retail
• And, in addition, due to the low supply and high demand, retailers charges more.

[DrDerp]

4 minutes ago, Slottr said:

Consider that maybe the old inventory isnt of 1080ti's?

Agreed. I bet it's somewhere in the 1060 range, since those two cards are so popular they may have oversupplied.

[hazeyez]

1 minute ago, Slottr said:

Consider that maybe the old inventory isnt of 1080ti's?

And I have considered that, of course - but you think they'd be able to forecast proper inventory levels.

 

They want to blame the crypto market falling off - people aren't buying 1050's or 1060's for mining - it's specifically 1070's & 1080's. 

 

Also - with the launch of RTX, you'd think they'd forecast that since prices on 1070's & 1080's will drop - that they would sell out the quickest, so keep extra stock of these models to replenish those inventories before any others?

 

IDK - maybe there ar epieces to running a multi billion $ tech company that I'm missing. 

[SupremeGOAT]

26 minutes ago, hazeyez said:

yet we can't find a 1080ti @ MSRP anywhere?

no bro you cant "see" 1080ti @ MRSP anywhere. Do you have RTX on?

[Jurrunio]

6 minutes ago, hazeyez said:

people aren't buying 1050's or 1060's for mining - it's specifically 1070's & 1080's. 

wrong on 1060, 1070 and 1080's part, because the majority of miners use 1060 6gb. There are 1070 and 1080 used in mining as well, but not nearly as much as 1060s.

 

7 minutes ago, hazeyez said:

but you think they'd be able to forecast proper inventory levels.

If they can, they won't be having this many leftover stock in the first place

 

8 minutes ago, hazeyez said:

Also - with the launch of RTX, you'd think they'd forecast that since prices on 1070's & 1080's will drop - that they would sell out the quickest, so keep extra stock of these models to replenish those inventories before any others?

GP104 might go out of stock very soon, we can't forecast this. Or maybe many have bad cores in them so they decided to cut them down into 1060s, with D5X nonetheless and sell them off.

[Mihle]

I bet it's the chip that is in 1070 that they have a lot of, it explains the reason why they made a 1060 with a really cut down chip of the one that is in 1070 a while back.

[Nicnac]

I've noticed used market prices going up again as well.... a few months ago you could get a 1080 ti for as low as 500 EUR which is pretty cheap for Germany.

[MoonSpot]

4 hours ago, hazeyez said:

And I have considered that, of course - but you think they'd be able to forecast proper inventory levels.

 

They want to blame the crypto market falling off - people aren't buying 1050's or 1060's for mining - it's specifically 1070's & 1080's.

Yea, however you're assuming that Huang wasn't being completely full of shit using crypto as a scapegoat.  Would not doubt that there's a lot of 1030s no one wants.  Remember  those DDR4 CPU RAM 1030s?  Think they're even worth taking off the boards?  But most I'd assume are 1060s/50s.

[GoodBytes]

9 minutes ago, MoonSpot said:

Yea, however you're assuming that Huang wasn't being completely full of shit using crypto as a scapegoat.  Would not doubt that there's a lot of 1030s on one wants.  Remember  those DDR4 CPU RAM 1030s?  Think they're even worth taking off the boards?  But most I'd assume are 1060s/50s.

I'll gladly take these 1030 for a lower price.

They are very helpful in giving second life out of old system. I already taken Core 2 Duo desktops, and got Windows 10 flying on them with a simple SSD and put one of these super low end GPUs in them which has Windows 10 support, while what it had before didn't have the performance or lacked drivers to make them work properly, or the old graphics solutions had only VGA.

[dtaflorida]

Will they finally drop the prices on their mid tier to clear out inventory? The message is clear, even the investors are unhappy with their tactic of raising the price on new releases and leaving the old stuff at the same price. Just discount and get rid of the old stock already!

[JoeCoke]

It's because the RX 590 is DESTROYING NGREEDIA!!!!

 

 

/s

[JAKEBAB]

Time to buy?

[JoeCoke]

1 hour ago, GoodBytes said:

I'll gladly take these 1030 for a lower price.

They are very helpful in giving second life out of old system. I already taken Core 2 Duo desktops, and got Windows 10 flying on them with a simple SSD and put one of these super low end GPUs in them which has Windows 10 support, while what it had before didn't have the performance or lacked drivers to make them work properly, or the old graphics solutions had only VGA.

Those DDR4 1030s are garbage, but the GDDR5 version is actually (like you already said), great for slim OEM machines.

 

I took a boring HP slim desktop that had a single core CPU and Windows Vista, and

 

1. switched the board out for a FM2+ board with a FX quad core APU and 8GB of RAM I had laying around

2. slapped a SSD in it

3. plopped a GT 1030 GDDR5 in it and

4. installed Windows 7 to it.

 

It's a little monster now, and it's all running on the original garbage PSU. IIRC the PSU is only like 115w or lower. Then I installed a Xbox 360 wireless adapter and USB wifi internally, and a 4 port mayflash Gamecube adapter in the front where the CD drive was and man, it's been great.

 

So yeah, 1030 (gddr5) is great, even though the 2200g offers much MUCH better value if you're building from scratch, the 1030 allows you to build small HTPCs on the cheap from a old OEM system and still have nice performance. You can take a old 700 series Dell Optiplex, add a q6600 and a SSD, then install a 1030 and have a nice little system. It's a thing that's been done countless times since the 1030 was released and it's a really great use case. (Just be sure the PCI-E slot is capable of delivering enough power, there are some Optiplex models which can't power a graphics card from the slot IIRC.)

 

People who are hard on the 1030 don't understand the 1030. Unless they're being hard on the DDR4 version, in which case it's completely justified.

Spoiler

 

 

[GoodBytes]

1 minute ago, 2Buck said:

snip

I cannot agree more. But I'll just say this, if the 1030 DDR4 is really cheap, I won't mind it if the owner of the system is in tight budget. In the end, if I could plot in a low end Intel integrated graphics I would. All it needs to handle is, essentially, 1080p videos and Windows interface. But yes, at the current price the 1030 DDR4, no way.

[Devin92]

This is my thought on the matter, it might be totally flawed, so treat is as a troll:

NV want to promote the new RTX line up. If they raise the supply of the old 1060-1080ti line, people will mainly want to buy those and hurt the sales on the new RTX cards. It might give better sales figure, but it will give the inverters the feeling that the new direction NV is taking which is ray tracing is not promising and not well received by the customer. So in turn, they will choose to release the rumored rebranded 1060 to answer the new rebranded 580 and ease out the over stock old chip but leave the 1080 and 1080ti as it is, so people looking for high end GPU will be forced to buy the new RTX cards. And when the time comes, if the sale is good they will have the over stock solved over time and have good sales on the new cards, and if the sale is not good, they will blame the overstock and the some production issue BS that does not give enough supply for the new cards.

[Daegun]

Wow. Now I usually think it's stupid when a companies stock drops after missing not their own projected earnings but a third parties (like what happened when Facebook dropped 24% after reporting earnings of 13.2 billion instead of 13.3), but missing projections by more than 20% is insane. I wonder who's going to be fired here. 

 

Edit: I assume whoever was going to be fired already has been. I hadn't followed nvidia stock closely and they're down more than 42% in the last 1 1/2 months.

[MoonSpot]

1 hour ago, 2Buck said:

People who are hard on the 1030 don't understand the 1030. Unless they're being hard on the DDR4 version, in which case it's completely justified.

  Reveal hidden contents

 

 

I ran 100 Series 30 laptop variant (never mind the 1030 itself) until a year ago as my sole GPU.  I'm not writing from some snobbish POV.  I think the proper 1030 is a great 720p card and fine for 1080p cinematic mode.  I don't think the price is good for it here though, and would look at 550 instead since its that much better for a bit more.  The RX 550 can at least be a 1080p card.

4 hours ago, GoodBytes said:

I'll gladly take these 1030 for a lower price.

Yea, $110-130+ is a bit much to chew for what it is.  $75 and we're in business.

[JoeCoke]

1 hour ago, MoonSpot said:

I ran 100 Series 30 laptop variant (never mind the 1030 itself) until a year ago as my sole GPU.  I'm not writing from some snobbish POV.  I think the proper 1030 is a great 720p card and fine for 1080p cinematic mode.  I don't think the price is good for it here though, and would look at 550 instead since its that much better for a bit more.  The RX 550 can at least be a 1080p card.

Read what I said again, and really think about it.

 

I already said the 1030 is a bad choice if you're building a PC. I said it's great for upgrading a existing PC like a slim OEM PC that has a tiny PSU.

[Bramman123]

Note:Now that the RTX have come out all GTX cards are a lot cheaper.I have been looking at 1080 and 1080 ti's but you can find cards less than MSRP as long as you are willing not to get a founder edition. Also you get a AMD radeon 580 or 1070 ti which are both cheaper. If you need something a bit weaker but you still can game on them use a 150 or 1050 ti that cost both about $150 or used even less.

[YoloSwag]

This is actually significant news since they usually make a killing in Q3 and Q4.

 

So I guess their greed now has reached levels where they need to up the dosage (profit margins) for them not to get the shakes.

[YoloSwag]

9 hours ago, SupremeGOAT said:

no bro you cant "see" 1080ti @ MRSP anywhere. Do you have RTX on?

tell him to try 1080p because there might be some visual issues with anamorphic resolutions 

[mariushm]

They'll rebrand those Pascal chips and make rtx 2050 and rtx 2060