Nvidia Results Blow Past Analysts' Expectations

Artificial intelligence chipmaker Nvidia on Wednesday announced another quarter of astounding quarterly growth as investors try to decipher whether technology's latest craze is overblown hyperbole or a springboard into a new era of prosperity and productivity. The results for the November-January period blew past the analyst projections that shape investors' perceptions, as has been the case since Nvidia's high-end chips emerged as AI's best building blocks three years ago, the AP reports. Nvidia's fiscal fourth-quarter revenue surged 73% from the previous year to $68.1 billion while its profit nearly doubled to roughly $43 billion, or $1.76 per share.

The company now makes more than 90% of its revenue from its date center unit, which saw sales of networking parts used to connect graphic processing units surge 263% year-on-year to almost $11 billion, CNBC reports. The Santa Clara, California, company also provided a forecast exceeding analyst projections while CEO Jensen Huang provided commentary feeding into his thesis that the AI boom is still in the early stages of a buildout that will reshape society. "Computing demand is growing exponentially," Huang said, per the Wall Street Journal. "The agentic AI inflection point has arrived." Nvidia's stock price rose nearly 4% in extended trading after the numbers came out.