Fears of an AI bubble took at least a temporary reprieve after Nvidia (NVDA) reported higher earnings as well as a strong outlook for the fourth quarter after U.S. markets closed Wednesday.
The chipmaker beat Wall Street expectations for the third quarter, reporting revenue of $57.01 billion (up 62% from a year ago), as the AI investment boom continues to drive demand for its chips.
“Blackwell sales are off the charts and cloud GPUs are sold out,” said CEO Jensen Huang. “Computing demand continues to accelerate and accumulate through training and inference, each of which grows exponentially.”
The company’s shares were up 4% in after-hours trading at press time.
Data center revenue, arguably the company’s biggest source of revenue, hit $51.2 billion, slightly above analysts’ forecasts of $49.34 billion.
As for the bigger picture, NVDA expects fourth-quarter revenue of between $63.7 billion and $66.3 billion, versus Street estimates of just $62 billion.
The news has so far calmed particularly nervous crypto markets, sending bitcoin back above $90,000 after nearly falling to $88,000 the previous Wednesday. AI-Centric Crypto Tokens Like Close to protocol , and all increased between 4% and 5% after the report.
Also on the move are bitcoin mining stocks that have pivoted toward artificial intelligence infrastructure. These names have seen big rises this year, but have been brutally hit lately by the overall tech and cryptocurrency sell-off combined with fears of an AI bubble. Among Wednesday night’s gainers: IREN (IREN) was up 8%, Cipher Mining (CIFR) was up 11%, and Hut 8 Mining (HUT) was up 6%.
The results reinforce Nvidia’s position at the center of the artificial intelligence supply chain. Its GPUs are critical for training large language models, powering data centers, and running machine learning workloads at large technology companies.
The company will hold a conference call at 5 p.m. ET as investors seek assurances that the company’s huge bets on AI infrastructure, software tools and next-generation chips are translating into lasting revenue.
