NVIDIA has reported another blockbuster set of financial results, closing its fourth quarter with a record $68.1 billion in revenue, a 20% jump sequentially and a staggering 73% rise year-on-year. For fiscal 2026, revenue climbed to $215.9 billion, cementing the company’s position at the centre of the world’s accelerating AI infrastructure build-out.
According to Founder and CEO Jensen Huang, the industry has now crossed a defining threshold: “Computing demand is growing exponentially – the agentic AI inflection point has arrived.”
Huang pointed to the company’s Grace Blackwell architecture, which continues to dominate inference performance, and its forthcoming Vera Rubin generation, which is expected to push NVIDIA’s leadership even further.
Data centre dominance drives the cycle
NVIDIA’s data centre business once again delivered the lion’s share of growth, setting a quarterly record of $62.3 billion – up 75% from last year. The company attributed the surge to sweeping platform shifts as enterprises and developers adopt accelerated computing and agentic AI at scale.
The introduction of the Rubin platform signals NVIDIA’s intent to maintain aggressive generational leaps in inference efficiency, setting up what it calls “the factories powering the AI industrial revolution”. The company also continued to expand its AI software and model ecosystem, adding new open model families, tools for agentic and physical AI, and deeper collaborations across cloud, pharmaceutical and industrial sectors.
Automotive and robotics quietly accelerate
Although smaller than the data centre business, NVIDIA’s automotive segment posted steady progress. Quarterly revenue reached $604 million, with full-year sales rising 39%. The company showcased new open model families for next-generation autonomous vehicles and expanded collaborations across driver assistance, simulation and industrial robotics.
Its robotics stack – spanning simulation, compute, and AI frameworks – also saw growing adoption among global automation and manufacturing players, reflecting momentum in physical AI deployment.
Looking ahead to the first quarter of fiscal 2027, NVIDIA expects revenue of $78 billion ±2%, with the notable caveat that it is assuming zero data centre compute revenue from China.
However, the reaction amongst investors was muted, with NVIDIA’s share price nudging upwards ever so slightly.
Kate Leaman, Chief Market Analyst at AvaTrade, said: “NVIDIA’s Q4 earnings confirm the AI revolution is firing on all cylinders, which somewhat puts the AI bubble fears to rest, at least for now. The results provide hard evidence that Big Tech’s AI bet is paying off big time, with NVIDIA as the undisputed market leader. The main story here is that AI infrastructure demand is structural, not cyclical, and NVIDIA owns the road ahead.
“Analysts set a sky-high bar at $65.9 billion revenue and $1.53 EPS. While NVIDIA cleared it with room to spare, delivering 3-4% above on sales and 6% on profits, in a market hooked on perfection, shares only nudged up around 3% after hours before paring gains. That’s because expectations were baked in at lofty valuations, and investors are in wait and see mode ahead of today’s jobs data.
“Now the spotlight is focused on whether this pace can be sustained. The question is whether supply ramps up or hyperscaler capex fatigue could finally kick in. Still, beating whispers of moderation hands NVIDIA the narrative: the AI boom is alive. The next focus would be on guidance execution and any China compute rebound.
“NVIDIA’s beat is a green light for tech risk appetite. Semis, software, and AI-adjacent plays get a tailwind; validation that multi-year capex waves are real. Free cash flow doubling to $34.9 billion screams sustainable pricing amid shortages. Indices like Nasdaq will lean on this momentum into 2026, but it’s fragile – one hyperscaler budget trim and ripples hit everywhere from AMD to cloud stocks. Still, this keeps the Magnificent Seven narrative humming, reigniting dip-buying in beaten-down tech. This indicates that NVIDIA’s health check shows that risk-on lives.”
Daniela Hathorn, Senior Market Analyst at Capital.com said: “NVIDIA delivered another standout quarter, reinforcing its reputation as one of the market’s most consistent outperformers. Revenue and earnings comfortably beat expectations, driven once again by stronger-than-forecast data centre sales. Margins also came in firmer than feared, easing concerns that aggressive scaling and rising input costs would begin to erode profitability. Perhaps most importantly, forward guidance surprised to the upside. Revenue projections for the next quarter exceeded already elevated expectations. The reaction saw NVIDIA’s stock move higher, however it missed the $200 mark, which had been highlighted as a key level to test bullish appetite. It stands to be seen whether the rally can be sustained over the next few days.
“Meanwhile, the strength of NVIDIA’s results added fuel to what was already a constructive session for technology stocks. The Nasdaq broke higher, while the S&P 500 pushed back towards its own record territory. After a period where the narrative around AI spending had turned increasingly pessimistic the earnings release seems to have provided a reset. In the short term, it appears that bearish positioning had become stretched, and the scale of NVIDIA’s beat forced a recalibration.
“That said, structural questions remain. The longer-term issue of hyperscalers aggressively re-leveraging and racing to outspend each other on AI infrastructure has not disappeared. Concerns about margin compression and capital discipline are likely to resurface at some point. However, from a sentiment perspective, the results have restored confidence that demand for high-performance chips remains robust and that the AI buildout is still in its early stages.
“Encouragingly for broader risk appetite, positive spillovers were visible beyond equities. The crypto complex also showed signs of life, with Bitcoin rallying sharply and price action suggesting a potential bottoming process. Taken together, NVIDIA’s earnings appear to have acted as a catalyst, shifting market mood from caution to renewed optimism – at least for now.”
