Nvidia delivered another set of blowout quarterly results on Wednesday, easily outpacing Wall Street expectations and reinforcing its position as the most important supplier in the global artificial intelligence supply chain.

The report, covering the company ’ s fiscal third quarter, showed that demand for its advanced AI processors remains exceptionally strong despite persistent questions among investors over whether the AI boom is overheating.

The Santa Clara – based chip designer posted record quarterly revenue of $57 billion, up 22% from the previous quarter and 62% from the same period a year ago. Net income rose to $31.9 billion, while earnings per share came in at $1.30, beating the $1.26 expected by analysts surveyed by FactSet. The results extend a two-year streak in which Nvidia has repeatedly topped even the most optimistic forecasts.

"Blackwell sales are off the charts, and cloud GPUs are sold out," Chief Executive Officer Jensen Huang said in a statement, referring to the company ’ s latest generation of high-performance chips used to train and run large language models. Huang said the company continues to see insatiable demand from hyperscale cloud providers, enterprise customers, and an expanding group of AI model developers.

"Compute demand keeps accelerating and compounding across training and inference — each growing exponentially. We ’ ve entered the virtuous cycle of AI," Huang said. He added that the global ecosystem of AI developers is expanding rapidly across industries ranging from healthcare and financial services to manufacturing and media. "AI is going everywhere, doing everything, all at once."

Nvidia projects fourth-quarter revenue of $65 billion, another record and well ahead of the roughly $60 billion analysts had penciled in. Shares rose nearly 4% in after-hours trading, adding to a 39% gain already logged this year. The company briefly became the world ’ s first publicly traded firm valued at $5 trillion in October, fueled by expectations that generative AI will redefine global technology spending for years to come.

The magnitude of Nvidia ’ s results and guidance drew immediate praise from analysts. Dan Ives of Wedbush Securities called the quarter "a huge print" that should "reignite the bullish tech trade into year-end," adding that he believes fears of an AI bubble are "way overstated."

Still, the company ’ s dominance has made it a central player in a broader debate about whether the hype around AI has run ahead of real-world adoption. While companies are racing to build and train models, many projects have yet to translate into meaningful revenue gains or productivity improvements — a gap that some investors worry could trigger a pullback.

"Nvidia earnings are such an important event because the stock has enormous weight in major indexes and because it sits at the center of the entire AI build-out," said Chris Zaccarelli, chief investment officer at Northlight Asset Management.

Much of the surging demand stems from the rapid construction of AI-focused data centers in the U.S. and globally. Data center investment — including GPU procurement, cloud infrastructure and AI research — has been the largest contributor to U.S. GDP growth this year, according to S&P Global.

Market concentration has also intensified. The collective value of the "Magnificent Seven" — Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia and Tesla — now accounts for 37% of the S&P 500, according to Morningstar, amplifying concerns that AI optimism has pushed valuations to elevated levels.

"Market psychology has turned cautious in recent weeks," Zaccarelli said. "Some investors fear that a few years from now we may look back and recognize signs of a bubble. But for now, spending is real, profits are real, and the largest tech companies remain massively cash-generative."

Nvidia is navigating another major challenge: U.S. export controls that prevent it from shipping its most advanced chips to China, formerly one of its fastest-growing markets. Washington has tightened restrictions twice in the past year as part of a broader effort to slow Beijing ’ s ability to develop cutting-edge AI systems with potential military applications.

Despite the loss of access to a market that accounted for up to one-fifth of its data center revenue in past years, Nvidia said global demand remains strong enough to offset the shortfall. Still, CFO Colette Kress called the inability to ship higher-end products to China "disappointing."

"To establish sustainable leadership in AI computing, America must win the support of every developer and be the platform of choice for every commercial business, including those in China," Kress said. She added that Nvidia will continue to advocate for access to the Chinese market, though the company insists it is complying fully with U.S. regulations.

Wedbush ’ s Ives predicted export restrictions could be relaxed in 2026 as U.S.-China trade negotiations evolve, though analysts caution that geopolitical risks remain one of the biggest long-term uncertainties for the company.

For now, Nvidia ’ s outlook suggests that any slowdown in AI spending remains distant. The company ’ s GPUs have become essential infrastructure for developers building large-scale generative AI systems, and its newest Blackwell-architecture chips are expected to remain supply-constrained well into next year.

With cloud providers racing to expand GPU clusters and enterprises beginning to deploy AI tools internally, investors are betting that Nvidia ’ s dominance will persist — even as the industry grapples with questions about sustainability, capacity and regulatory scrutiny.

If current trends hold, analysts say the company could surpass $250 billion in annualized revenue within the next few years, solidifying its role not merely as a chip supplier but as the backbone of the global AI economy.