Nvidia Exceeds Earnings Expectations with Strong Revenue Growth
Nvidia delivered impressive financial results for its fiscal second quarter of 2027, reporting adjusted earnings per share (EPS) of $2.22 and revenue of $96.22 billion—both up over 100% year-over-year. The company exceeded Wall Street's expectations with EPS above the forecasted $2.10 and revenue surpassing estimates by nearly $4 billion. Nvidia also raised its third-quarter guidance, projecting $108 billion in revenue (excluding China data center sales) and a gross margin of 74%. CEO Jensen Huang highlighted that AI has reached an 'inflection point,' with increased demand from multiple labs and startups globally. Nvidia's stock rose nearly 3.8% after hours following the report, despite recent market volatility. The company also repurchased $26 billion in shares during Q2 under its ongoing buyback program, which still has $99 billion remaining. CFO Colette Kress expects CPU sales to more than double by fiscal 2028 and anticipates a robust 70% annual revenue growth for the same period. While long-term concerns about margin sustainability and competition remain, investors are currently focused on Nvidia's strong near-term performance and leadership in AI infrastructure. Analysts note that despite its massive size, the company is growing faster than peers like Intel and AMD.
Tickers: $NVDA