Nvidia Earnings Beat Raises Outlook
Nvidia earnings topped Q3 expectations and lifted Q4 sales guidance as Blackwell GPU demand and a $100.0 billion buyback reshape near-term investor focus.
KEY TAKEAWAYS
- Nvidia reported fiscal Q3 revenue of $57.0 billion and GAAP EPS of $1.30.
- Data-center revenue rose to $51.2 billion, up 66.0% year-over-year and 25.0% sequentially.
- Company raised Q4 revenue guidance to $65.0 billion and authorized a $100.0 billion buyback.
HIGH POTENTIAL TRADES SENT DIRECTLY TO YOUR INBOX
Add your email to receive our free daily newsletter. No spam, unsubscribe anytime.
Nvidia Corp. reported fiscal third-quarter 2026 revenue of $57.0 billion and GAAP earnings per share of $1.30, both exceeding Wall Street expectations, in a Nov. 19, 2025, press release. The company raised its fourth-quarter sales guidance, citing strong demand for its latest AI graphics processing units (GPUs).
Data Center Revenue Drives Growth
Nvidia’s data center revenue surged to $51.2 billion, up 66.0% year-over-year and 25.0% sequentially, accounting for nearly 90% of total sales. GAAP net income reached $31.9 billion. Networking revenue hit a record $8.2 billion, rising 162.0% year-over-year, driven by adoption of the NVLink compute fabric for GB200 and GB300 systems.
Other segments also posted gains: gaming revenue increased 30.0% year-over-year, professional visualization rose 56.0%, and automotive grew 32.0%. Management said sales of H20 chips were insignificant in the quarter.
Raised Guidance and Share Repurchase Program
For fiscal fourth quarter 2026, Nvidia projected revenue of $65.0 billion, plus or minus 2%, above prior analyst estimates. It forecast gross margins between 74.8% and 75.0%, attributing growth to continued AI infrastructure expansion, partnerships with major cloud providers, and demand for Hopper chips. Management cautioned that AI hardware spending can be cyclical.
The board authorized a $100 billion share repurchase program to accompany the stronger outlook. CEO Jensen Huang described Blackwell GPU demand as “off the charts,” with cloud GPU supply already sold out. U.S. export controls left Nvidia with zero China market share in the quarter, but management noted licensing could unlock $2 billion to $5 billion in potential H20 revenue if approved.
The results highlight Nvidia’s dominance in AI-focused accelerators and networking products, while the guidance and buyback program reflect confidence despite export restrictions and regulatory uncertainties.
