Nvidia reported a massive 73% annual revenue increase to $68.1 billion for its latest quarter, driven by a 75% surge in data-center sales to $62.3 billion. The results bolstered U.S. stocks and reinforced the chipmaker’s central role in the AI infrastructure buildout, with CEO Jensen Huang arguing the sector remains early in a historic investment cycle. Cryptocurrencies like Bitcoin and Ethereum also saw significant gains ahead of the earnings release.
U.S. stocks edged higher late Wednesday as investors weighed a blockbuster earnings report from Nvidia. The tech-heavy Nasdaq outperformed, advancing 1.26%, while the S&P 500 closed 0.8% higher.
Nvidia’s fourth-quarter revenue reached $68.1 billion, a 73% increase from a year earlier. Sales in its data-center segment specifically rose 75% to $62.3 billion, cementing its core position in global AI infrastructure spending.
Net income for the quarter nearly doubled to $43 billion, with gross margins holding at about 75%. The company’s guidance forecast first-quarter revenue of approximately $78 billion, implying further sequential growth.
CEO Jensen Huang has previously argued that AI is still in the early stages of what he called the “largest infrastructure buildout in human history.” He has stated that trillions in additional investment will be needed, countering investor concerns that the sector may be overheating.
Market analyst Josh Gilbert from eToro told media that “Nvidia has sent a clear message to the market with this result that the AI infrastructure buildout is only accelerating.” He noted that the company has nearly doubled its inventory and capacity commitments to $95.2 billion.
Ahead of the earnings release, major cryptocurrencies posted substantial valuation gains. Bitcoin jumped 7%, while Ethereum climbed 12.5% amid the broader market rebound.
Analyst outlooks on the AI investment cycle vary, as Goldman Sachs has forecast that AI capital expenditure growth will peak in 2026. In contrast, firms like Cathie Wood’s Ark Invest frame the current spending surge as the start of a multi-year cycle.
