For the three months ending 27th October, Nvidia posted revenues of over $35 billion, exceeding analysts’ expectations of $33.2 billion.
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Its net income reached $19.3 billion, also surpassing projections of $17.4 billion. The company’s data centre segment played a significant role, achieving an astonishing 112% year-over-year growth and contributing $30.8 billion in revenue.
Commenting on the results, Kate Leaman, chief market analyst at AvaTrade said: “Nvidia continues to demonstrate why it's such a dominant force in the AI-driven tech space. Its Q3 earnings report was impressive.”
Despite the stellar numbers, Nvidia’s shares fell by up to 3% post-announcement, wiping nearly $100 billion from its market capitalisation.
Analysts suggest this decline stemmed from investor caution. Leaman explained: “The stock dipped slightly… likely a result of extremely high expectations and investor caution about whether this rapid growth can sustain.”
Nvidia’s Q4 revenue guidance of $37.5 billion exceeded Wall Street’s projections, signalling continued confidence.
CEO Jensen Huang reiterated the transformative potential of AI, describing it as being “in full steam”.
The company’s Hopper and Blackwell systems have driven much of the demand, though Nvidia acknowledged that supply constraints for its next-gen Blackwell chips could persist into fiscal 2026.
Additionally, geopolitical risks loom over Nvidia’s operations. The potential imposition of tariffs on Taiwan-made chips could disrupt its supply chain, a factor Leaman noted as a challenge amid otherwise robust prospects.
Still, Nvidia’s stock has surged an impressive 192% year-to-date, far outpacing competitors AMD and Intel.
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