NVDA Stock Stalls as AMD, Broadcom Outperform
NVDA stock stalled after big-tech earnings lifted CapEx to $665.0 billion, prompting flows to AMD and Broadcom amid hyperscaler custom-chip risk.
KEY TAKEAWAYS
- Big Tech guided 2026 CapEx up to $665.0 billion, signaling stronger AI infrastructure demand.
- Nvidia reported Q4 revenue of $68.1 billion and guided Q1 revenue to $78.0 billion.
- Investors rotated toward AMD and Broadcom amid hyperscaler custom-chip concerns.
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Nvidia Corp. (NVDA) stock stalled on April 30, 2026, as investor caution about Google and Amazon’s custom AI-chip plans tempered enthusiasm following April 29 big-tech earnings that signaled a sharp rise in infrastructure spending.
Big Tech CapEx Drives AI Infrastructure Demand
Alphabet, Amazon, Meta, and Microsoft collectively guided 2026 capital expenditures up to $665 billion, a 75.0% increase from 2025’s $381 billion. This surge reflects sustained demand for AI infrastructure, including data-center expansions and the servers, accelerators, and networking that support large-scale model training and deployment.
Alphabet set a 2026 capex range of $175 billion to $185 billion and plans to ramp spending throughout the year. Microsoft reported Q4 2026 capex exceeding $40 billion, including about $5 billion in higher component costs, and flagged full-year spending of $190 billion with further acceleration expected in the second half.
AMD and Broadcom Outperform Nvidia Amid Competitive Risks
Nvidia reported Q4 fiscal 2026 revenue of $68.1 billion, a 73.0% year-over-year increase, with Data Center sales totaling $62.3 billion. It issued Q1 fiscal 2027 revenue guidance of $78 billion, underscoring its scale in the AI market even as investors weighed its exposure to hyperscalers and evolving supplier dynamics.
Broadcom posted Q1 fiscal 2026 revenue of $19.3 billion, up 29.0% year-over-year, with AI semiconductor sales of $8.4 billion—roughly double the prior year and a 106.0% increase on its semiconductor base. Its AI growth has been driven by custom accelerators for five major clients and strong demand for Ethernet switches, supporting its recent market gains.
AMD guided Q1 2026 revenue to $9.8 billion, plus or minus $300 million, implying about 32.0% year-over-year growth at the midpoint. This includes roughly $100 million in MI308 sales to China and anticipates a sequential decline of about 5% due to weakness in Client and Gaming segments. The guidance reflects product shipments and geographic sales assumptions investors considered after the tech group’s earnings.
Investor focus shifted intraday on April 30. Early gains gave way to a pullback in Nvidia shares around midday, while AMD and Broadcom outperformed. Attention centered on Google and Amazon’s ambitions to develop custom AI chips, a competitive risk that could reduce hyperscaler reliance on Nvidia and influenced flows toward AMD and Broadcom.
Nvidia is scheduled to report next on May 20, 2026, which will provide further insight into hyperscaler demand and its revenue trajectory.
