Nvidia's Earnings Report Beats Expectations, US Stock Futures Rise, AI Prospects Reignite Market Confidence!
Nvidia's latest financial report shows that revenue for the second quarter reached $96.221 billion, up 106% year-on-year and 18% quarter-on-quarter, exceeding the expected $92.38 billion and the company's previous revenue guidance.
Nvidia management stated during the earnings call that AI infrastructure construction is progressing at full speed, and Vera Rubin is now fully operational, designed to meet the demands of this era. Nvidia's stock price surged more than 5% in after-hours trading. The world's largest company by market value reported quarterly revenue more than doubling compared to the same period last year, with data center revenue soaring by 117%.
Nvidia's earnings outlook has also excited the market, with the company expecting revenue growth of about 70% for fiscal year 2028, far exceeding the previous market estimate of 45%. This further reinforced market expectations for sustained strong AI infrastructure investment.
The third quarter of 2026 will become a key turning point for the AI computing hardware industry, marking the official entry of the global AI computing power industry chain into a mass production and fulfillment cycle centered on Nvidia's Vera Rubin platform. We remain firmly optimistic about the high-prosperity market of the AI computing hardware industry chain in the second half of the year. The industry's development logic has completed a phased shift, shifting from the policy and technology expectations contest in the first half of the year to a comprehensive shift toward accelerated substantial performance implementation.
This impressive financial report has injected new momentum into the overall technology sector. Previously, the technology sector has come under significant pressure recently, driven by rising bond yields and concerns that high valuations are unlikely to withstand disappointing earnings.
According to reports, Nvidia has been in serious talks over the past few weeks to acquire the AI open-source community Hugging Face, with the proposed deal valuing the latter at over $13 billion. No agreement has yet been reached between the two sides. If this acquisition goes through, it will be the latest step in NVIDIA's ongoing expansion strategy in the AI sector.
Market Insight:
Nvidia has recently increased its investment in the AI sector and announced on Wednesday that it has committed $18 billion in equity investments for the remainder of the year. Just hours before the above report was released, Nvidia had released a financial report that far exceeded market expectations and offered a strong outlook for this quarter's earnings.
