Nvidia Corporation reported stronger-than-expected results for its fiscal fourth quarter of 2026, with revenue rising 73% year-over-year to $68.1 billion. The company's data center segment, fueled by products like Blackwell and NVLink, now accounts for over 90% of total revenue. Asian markets climbed for a fourth straight day, boosted by Nvidia's upbeat sales forecast.
Nvidia Corporation's fiscal fourth quarter ending in early 2026 showed robust performance, exceeding analyst expectations. Revenue increased 73% from the previous year to $68.1 billion, while earnings per share rose 82% to $1.62. The data center business, which constitutes more than 90% of Nvidia's total revenue, grew significantly, driven by demand for AI infrastructure including the Blackwell platform and NVLink technology. Management provided guidance for strong sequential sales growth throughout fiscal 2027.
Analysts highlighted Nvidia's position in the expanding AI sector. One assessment noted that the company's earnings are outpacing its stock price, resulting in a forward price-to-earnings ratio of 24 to 25 times, below its five-year average and many high-growth peers. Networking revenue is growing faster than compute, indicating a shift toward integrated AI infrastructure. The AI capital expenditure cycle remains in its early stages, with persistent robust demand despite monitored geopolitical and spending risks.
Global markets reacted positively to Nvidia's outlook. Asian stocks rose for the fourth consecutive day as concerns over artificial intelligence eased, supported by the company's upbeat sales forecast. This lifted Asian chipmakers, with South Korea's Kospi Index hitting a record high. The US dollar weakened, gold prices edged higher, and bitcoin declined slightly. Investors are closely monitoring Nvidia's developments to sustain the AI-driven market rally.
Analyst opinions remain favorable, with one setting a $260 price target for Nvidia shares, citing exceptional growth, gross margins above 75%, and quarterly free cash flow of $35 billion. Another upgraded the stock to a modest buy rating, projecting a five-year compound annual growth rate return of 16.27%.
