Nvidia has once again stunned Wall Street, posting a record-breaking set of financial results for the third quarter of fiscal 2026 and immediately reigniting enthusiasm across the AI and semiconductor sectors.
Key Takeaways:
Nvidia posted record Q3 revenue of $57 billion, up 62% year-over-year.
After-hours trading reacted instantly, sending NVDA up more than 5% and adding over $200 billion in market value.
Jensen Huang said demand for AI compute is accelerating and cloud GPUs are sold out.
Nvidia returned $37 billion to shareholders year-to-date through buybacks and dividends.
The company reported revenue of $57 billion for the quarter ended October 26, 2025 — a staggering 22% jump from the previous quarter and 62% higher than a year earlier. Profitability surged as well, with diluted earnings per share reaching $1.30, up 67% year-over-year.
The market reaction was dramatic. Nvidia shares surged more than 5% in minutes, adding roughly $205 billion in market cap almost instantly.
BREAKING: Nvidia, $NVDA, stock rises +5% after announcing record quarterly revenue of $57 billion.
That's +$205 BILLION of market cap on this move. pic.twitter.com/m0t1J3cKCT
— The Kobeissi Letter (@KobeissiLetter) November 19, 2025
Market Momentum Reverses After Weeks of Volatility
The sudden spike followed several weeks of choppy trading for NVDA. Before the earnings call, the stock had cooled from the $220 level and closed the regular session at $186.52. Technical indicators reflected that hesitation. The RSI hovered around 47, signaling neutral momentum rather than overbought enthusiasm, and the MACD had been trending downward heading into earnings, suggesting weakening buying pressure. The tone changed the moment the results went live.
Nvidia surged to the $190–$195 zone after hours, indicating that traders viewed the numbers not just as another strong quarter, but as confirmation that the company is still in hyper-growth mode driven by ongoing AI adoption.
AI Continues to Drive Nvidia’s Explosive Growth
The foundation of Nvidia’s performance remains the global race for AI computing power. CEO Jensen Huang described the current period as a “virtuous cycle of AI,” emphasizing that both AI training and inference workloads are scaling simultaneously rather than sequentially. According to Huang, demand for cloud GPUs is so intense that systems remain sold out, and the acceleration of AI model development is feeding directly into higher compute requirements quarter after quarter. This is reflected in the company’s business composition. Revenue from Nvidia’s Data Center division alone reached $51.2 billion in Q3, accounting for nearly 90% of total revenue and rising 66% year-over-year. For a company of Nvidia’s size, this pace of expansion is almost unprecedented.
Global Partnerships Cement Nvidia’s Dominance in AI
Beyond the raw financial results, the past quarter showcased Nvidia’s ambition to widen its lead across the entire AI ecosystem. The company announced or expanded collaborations with OpenAI, Google Cloud, Microsoft, Oracle and xAI to build large-scale AI infrastructure. Anthropic is adopting one gigawatt of compute capacity using Nvidia Grace Blackwell and Rubin systems.
Nvidia and Oracle are constructing Solstice for the U.S. Department of Energy with 100,000 Blackwell GPUs, alongside a second supercomputer named Equinox. Nvidia also celebrated the production of the first Blackwell wafer on U.S. soil through TSMC’s Arizona facility, marking a milestone for domestic semiconductor manufacturing. Innovation continued with announcements such as Rubin CPX GPUs for massive-context AI processing, NVQLink for quantum-GPU connectivity, BlueField-4 processors for next-generation data centers and Omniverse DSX designed as a blueprint for gigawatt-scale AI factories.
Other Business Segments Grow, but AI Remains the Engine
While the Data Center division remains the company’s overwhelming revenue driver, other business units also posted meaningful growth. Gaming generated $4.3 billion in quarterly revenue, which represented a 30% increase compared to a year ago.
Automotive and robotics recorded $592 million in revenue, up 32% year-over-year, supported by autonomous vehicle development platforms and physical AI deployments across major industrial partners. Professional visualization reached $760 million, increasing 56% year-over-year as enterprises continued adopting AI-based simulation, digital twins and advanced visualization workflows. Each of these businesses is expanding, but all of them share the same backbone — Nvidia’s strategy of embedding AI acceleration across every computing sector.
Nvidia Expects Even Higher Revenue in Q4
Nvidia’s outlook reinforces the message that growth is far from slowing. The company expects fourth-quarter revenue of around $65 billion, plus or minus 2%, which would mark a new all-time high. Gross margins are projected to remain near 75%, reflecting both strong pricing power and the premium nature of Nvidia’s AI products.
Shareholders continue to benefit from this profitability. In the first nine months of fiscal 2026 alone, Nvidia returned $37 billion through buybacks and dividends and still has $62.2 billion authorized for future repurchases. The next quarterly dividend of one cent per share will be paid on December 26 to shareholders of record on December 4.
NVDA Price Outlook: Can the Rally Push Beyond $200?
The key question heading into the next trading session is whether the after-hours surge turns into sustained buying pressure once markets reopen. If Nvidia holds the $190 level, technical sentiment could flip back into bullish territory and give the stock another chance to reclaim the $200–$205 range, which has acted as a strong resistance zone in previous rallies. Short-term volatility is expected given the size of the post-earnings jump, and some traders may choose to lock in profits.
However, the long-term narrative remains firmly intact. Nvidia continues to dominate the semiconductor and AI infrastructure markets, and as long as global demand for generative AI scales upward, Nvidia’s revenue, pricing power and market influence appear positioned to grow alongside it.
