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Why Nvidia's margin outlook isn't worrying

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Nvidia (NVDA) posted fourth quarter results that topped Wall Street estimates. However, its first quarter margin forecast was a range of 70.5% to 71.5%, which was smaller than the Bloomberg consensus estimate of 72.1%

Cory Johnson, Epistrophy Capital Research's chief market strategist and host of "The Drill Down" podcast isn't worried about though.

"70% margins is not a soft margin outlook. It's softer than what these guys have had before...these are fantastic margins. This is fantastic growth."

Learn more about Johnson's take in the video above.

Watch Yahoo Finance's full Nvidia earnings special here.

This post was written by Stephanie Mikulich.