Nvidia (NVDA) has issued financial results and forward guidance that exceeded Wall Street forecasts as demand for its artificial intelligence (A.I.) microchips continues to grow.
The leading A.I. chipmaker reported earnings per share (EPS) of $1.30 U.S., which was ahead of consensus estimates that called for $1.25 U.S. Profits were up 65% year-over-year.
Revenue in the quarter totaled $57.01 billion U.S., which was ahead of Wall Street forecasts of $54.92 billion U.S. Sales were up 62% from a year earlier and a record for the company.
Nvidia’s most important business is its microchip sales to A.I. data centers. Those sales totaled $51.2 billion U.S. in Q3, surpassing expectations for $49.09 billion U.S., a 66% rise from a year ago.
In terms of guidance, Nvidia said it expects $65 billion U.S. in sales for the current quarter, which is more than the $61.66 billion U.S. that analysts had penciled in.
The earnings of Nvidia, which is the largest publicly traded company in the world with a market capitalization of $4.53 trillion U.S., were seen as a litmus test for the A.I. boom.
In recent weeks, Wall Street has become concerned about the valuations of many A.I.-related stocks, including Nvidia. Some analysts have begun to talk about an A.I. bubble.
Nvidia CEO Jensen Huang addressed those concerns on the earnings call, saying: “There’s been a lot of talk about an AI bubble. From our vantage point, we see something very different.”
Huang added that the company has $500 billion U.S. in A.I. chip orders for 2025 and 2026 combined. Executives said on the earnings call that “number will grow” in coming months.
Management also said that Nvidia’s best-selling microchip is now the “Blackwell Ultra,” the second-generation of the company’s Blackwell line of processors.
Nvidia made $12.5 billion U.S. of share repurchases and paid $243 million U.S. in dividends during the year’s third quarter.
NVDA stock is up 5% in premarket trading after its financial results. So far in 2025, the company’s share price has risen 35% to trade at $186.52 U.S. per share.
Tech Insider
