Nvidia’s earnings beat is not the most important part of the report.
Revenue reached $96.2B vs. $91.9B expected, EPS came in at $2.22 vs. $2.08, and next-quarter guidance of $108B beat consensus by 3.3%.
Strong numbers. But markets trade the future.
The bigger signal: capex from the top five hyperscalers is expected to increase from around $800B to $1.3T next year.
That matters because one of the biggest bearish arguments against AI stocks has been that Big Tech would eventually slow infrastructure spending.
So far, the opposite appears to be happening.
AWS is also taking 2 million Nvidia GPUs plus Vera CPUs, including infrastructure connected to the upcoming Rubin generation. This turns the AI demand story from expectations into actual orders. 📊
The risks have not disappeared. Higher memory and wafer costs are putting pressure on margins, while China now contributes very little to Nvidia’s data-center business.
But the broader signal is bullish for the AI infrastructure cycle: demand is spreading beyond a handful of frontier AI labs.
After the recent semiconductor correction, Nvidia may have just removed one of the biggest fundamental arguments against the sector. 🚀
The next question is macro: can rates and liquidity support another Nasdaq expansion?
#NVIDIA #NVDA #Aİ #NASDAQ #Semiconductors
Revenue reached $96.2B vs. $91.9B expected, EPS came in at $2.22 vs. $2.08, and next-quarter guidance of $108B beat consensus by 3.3%.
Strong numbers. But markets trade the future.
The bigger signal: capex from the top five hyperscalers is expected to increase from around $800B to $1.3T next year.
That matters because one of the biggest bearish arguments against AI stocks has been that Big Tech would eventually slow infrastructure spending.
So far, the opposite appears to be happening.
AWS is also taking 2 million Nvidia GPUs plus Vera CPUs, including infrastructure connected to the upcoming Rubin generation. This turns the AI demand story from expectations into actual orders. 📊
The risks have not disappeared. Higher memory and wafer costs are putting pressure on margins, while China now contributes very little to Nvidia’s data-center business.
But the broader signal is bullish for the AI infrastructure cycle: demand is spreading beyond a handful of frontier AI labs.
After the recent semiconductor correction, Nvidia may have just removed one of the biggest fundamental arguments against the sector. 🚀
The next question is macro: can rates and liquidity support another Nasdaq expansion?
#NVIDIA #NVDA #Aİ #NASDAQ #Semiconductors
