NVIDIA Corporation (NASDAQ:NVDA) stock rose 9.26% (As on Nov 18, 10:59:22 AM UTC-4, Source: Google Finance) after the company posted better than expected results for the third quarter of FY 21. The demand for NVIDIA AI is surging, driven by hyperscale and cloud scale-out, and broadening adoption by more than 25,000 companies. NVIDIA RTX has reinvented computer graphics with ray tracing and AI, and is the ideal upgrade for the large, growing market of gamers and creators, as well as designers and professionals building home workstations.

NVDA in the third quarter of FY 21 has reported the adjusted earnings per share of $1.17, beating the analysts’ estimates for the adjusted earnings per share of $1.11, according to the Zacks Consensus Estimate. The company had reported the adjusted revenue growth of 50 percent to $7.1 billion in the third quarter of FY 21, beating the analysts’ estimates for revenue by 3.93%.

Additionally, the company has paid quarterly cash dividends of $100 million in the third quarter. It will pay its next quarterly cash dividend of $0.04 per share on December 23, 2021, to all shareholders of record on December 2, 2021.

Meanwhile, NVIDIA Corporation (NVIDIA) and SoftBank Group (SoftBank) in September had announced an agreement under which NVIDIA will acquire Arm Limited (Arm) from SoftBank in a transaction valued at approximately $40 billion. The UK served now as another roadblock, with antitrust regulators probing the graphics card maker on its plans. Now, the initial probe report has been released to the public, along with news of an escalated investigation. The government has now published the CMA’s Phase 1 report which has recommended moving to a Phase 2 investigation on competition grounds. The CMA had found that the transaction may result in a substantial lessening of competition across four key markets: data centres, Internet of Things, automotive and gaming. The CMA will now lead the Phase 2 investigation covering both competition and national security. It will have 24 weeks to conduct this investigation before delivering a final report to the Digital Secretary. This deadline may be extended by up to eight weeks.

For the fourth quarter of fiscal 2022, the company expects revenue to be $7.40 billion, plus or minus 2 percent and GAAP and non-GAAP gross margins are expected to be 65.3 percent and 67.0 percent, respectively, plus or minus 50 basis points.