Chip titan Nvidia posts record $68B in sales in latest quarter despite AI bubble worries | Latest Tech News
Nvidia on Wednesday posted $68 billion in sales in its fiscal fourth quarter, a 20% leap that beat analyst expectations and helped quiet the drumbeat about a looming artificial-intelligence bubble.
“Computing demand is growing exponentially,” CEO Jensen Huang said on an earnings call, including that “the agentic AI inflection point has arrived.”
He added that partnerships with tech leaders including Anthropic, Meta and OpenAI have been tailwinds for his company, which he co-founded in 1993 and has seen a meteoric rise in the AI period.
Nvidia raked in $43 billion in internet income — up 35% from a 12 months in the past — in its latest quarter.
Nvidia raked in $43 billion in internet income — up 35% from a 12 months in the past — in its latest quarter. AFP via Getty Images
Wall Street had predicted $37.5 billion in revenue and $66.1 billion in income, according to estimates compiled by FactSet.
The company’s data middle business — the chips and networking gear powering AI and cloud heavyweights — led the best way, accounting for 91.4% of complete sales, or $62.3 billion.
Nvidia’s outcomes appeared to mark the latest signal that there’s lots of life left in the AI frenzy.
At almost $5 trillion in market worth, Nvidia is the world’s most invaluable publicly traded company and has grow to be the bellwether for monitoring the red-hot AI sector.
Nvidia’s research and development price range of $20 billion has helped it churn out income growth, said the company’s government vice president and chief financial officer Colette Kress
Nvidia’s stock has been on a curler coaster as AI fever has seesawed while buyers grow anxious that companies have overinvested in the technology. Shares sank to $170.94 in mid-December amid bubble fears, but have since risen above $190.
The stock closed at $195.56 at end of trading on Wednesday, before the earnings got here out.
Nvidias’ record sales may slow down if big prospects like OpenAI can’t continue to get financing, Brian Mulberry of Zacks Investment Management told the Wall Street Journal.
Still, Nvidia’s chips — thought of the best of their form — place the company to whether or not any storm in at least the short time period, Mulberry added.
“At the end of the day, they’re still the most in-demand piece of hardware in the AI market, regardless of what side of it you’re on,” he was quoted as saying.
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