Nvidia's quarterly report once again became the center of attention for the entire market, and this time investor reaction proved to be diametrically opposed to recent pessimism. The release of financial results for the second fiscal quarter not only surpassed all consensus forecasts but also triggered a powerful reversal in the stock price: after a brief drop to $205, NVDA shares surged, gaining more than 4% in after-hours trading and reaching $219.12.
Fundamental metrics break records
The company's key metrics demonstrated impressive momentum. Revenue for the reporting period amounted to $96.2 billion, exceeding analyst expectations by $4 billion (Wall Street consensus — $92.2 billion). On an annualized basis, revenue growth reached 106%, confirming the sustained explosive demand for artificial intelligence solutions. Adjusted earnings per share (EPS) also came in above forecasts: $2.22 versus the expected $2.10.
The Data Center segment deserves special attention, as it continues to be the main growth driver. Revenue for this division jumped 117% to $89 billion, significantly outpacing the forecast of $85.8 billion. Sales to the largest cloud providers (hyperscalers) reached $48.71 billion against expectations of $43.55 billion. Gross margin remained at a high level of 75%, while adjusted net profit grew 118% to $54 billion.
Third-quarter guidance: above expectations
Company management presented an optimistic forecast for the current quarter, expecting revenue of $108 billion (plus or minus 2%). This target not only exceeds the analyst consensus ($104.2 billion) but also aligns with the upper end of traders' informal expectations. Notably, the forecast does not include shipments of computing solutions to China, leaving room for additional upside.
The volume of committed purchases (backlog) more than doubled — from $119 billion to $279 billion, primarily driven by memory supply contracts. The company also confirmed the transition to full-scale production of the Vera Rubin architecture — the successor to the Blackwell family, whose server racks are already operating at partner sites.
Expert view: a paradigm shift
It is telling that investors have finally stopped punishing Nvidia shares for "too good" results. The previous four quarters were accompanied by declines in the stock price after earnings reports, even when expectations were exceeded. Today's reversal signals a shift in the market paradigm: investors are beginning to view the company not as an overheated asset but as a fundamental pillar of the new technological era. Combined with the share buyback program (about $26 billion per quarter and potential for another $99 billion), this creates a solid foundation for further growth. The key catalyst now will be management's comments on memory prices and the pace of Rubin adoption — these are the factors that will determine whether the rally can continue at the market open.