Nvidia faces increasing scrutiny after trading algorithms uncovered critical accounting red flags in its latest earnings report, highlighting issues beneath the headline growth. Key among these is a sharp rise in accounts receivable, with the company’s Days Sales Outstanding (DSO) spiking to 53 days—well above norms and suggesting customers are taking delivery of chips they can’t pay for, resulting in phantom revenue.
The Australian sharemarket is on track to break a four-week losing streak, with the S&P/ASX 200 edging up 0.1 per cent to 8626.80 by mid-afternoon. The benchmark is positioned to finish the week 2.5 per cent higher, marking its longest run of daily gains since May.
You would think that the company that brought us ChatGPT – the one that supposedly aces every math test thrown at it – would be able to do the math on its own business model and cash-flow forecasts. But apparently not.
The Australian sharemarket held marginally higher on Thursday afternoon, lifted by strength in the technology sector but constrained by weakness in energy names. The S&P/ASX 200 inched up 3.2 points, or less than 0.1%, to 8609.7 by mid-afternoon, with seven sectors in positive territory.
The indexes shrugged off weakness in Nvidia as a jump in other megacaps, google and Meta along with health care and consumer stocks helped carry the broader market
The indexes shrugged off weakness in Nvidia as a jump in other megacaps, google and Meta along with health care and consumer stocks helped carry the broader market
Google led the market higher overnight as enthusiasm on their TPU technology and Gemini 3 re-ignited investors AI enthusiasm
The Australian sharemarket rebounded from a six-month low on Monday, lifted by strength across industrials, technology and healthcare. The S&P/ASX 200 rose 1.2 per cent to 8514.40 by mid-afternoon, recovering after nearly $40 billion was wiped from the index late last week amid fading US rate-cut expectations.
Stocks bounced back on Friday on very thin hopes for a December rate cut, as Fed Williams went against all the recent Fed speak and suggested a cut could come soon.
Nvidia faces increasing scrutiny after trading algorithms uncovered critical accounting red flags in its latest earnings report, highlighting issues beneath the headline growth. Key among these is a sharp rise in accounts receivable, with the company’s Days Sales Outstanding (DSO) spiking to 53 days—well above norms and suggesting customers are taking delivery of chips they can’t pay for, resulting in phantom revenue.
The Australian sharemarket is poised for a fourth straight weekly decline, with the S&P/ASX 200 sliding 1.5 per cent, or 128.5 points, to 8424.20 by mid-afternoon Friday. November losses have now reached 5 per cent, setting the benchmark on track for its weakest month since September 2022.
Stocks were smashed overnight as an Nvidia led rout of the AI stocks, as rate cuts were taken off the table due to better than expected Payrolls.
