Nvidia Reports $500 Billion in AI Chip Bookings for 2025 and 2026
Nvidia (NASDAQ: NVDA) has secured a backlog of $500 billion in bookings covering its AI chip sales through the years 2025 and 2026, reflecting strong demand from hyperscalers. CEO Jensen Huang emphasized that this represents just the beginning of an AI boom despite recent stock volatility due to concerns over high capital expenditures and circular financing involving customer investments. The company's financial performance remains robust: in Q1 fiscal 2027 (ended April 26), revenue reached $81.6 billion, up 85% year-over-year, with net income surging by 211%. Nvidia’s stock currently trades at a P/E ratio of 30—slightly above the S&P 500 average—and is considered to be relatively undervalued given its growth trajectory. Investors remain cautious due to potential credit constraints for hyperscalers and concerns about circular financing, such as investments in CoreWeave. However, these partnerships may accelerate hardware deployment and adoption of Nvidia’s AI technology.
Tickers: $NVDA
Topics: AI backlog bookings Nvidia semiconductors