NVIDIA (NASDAQ:NVDA) Posts Quarterly Earnings Results, Beats Expectations By $0.08 EPS

NVIDIA (NASDAQ:NVDA) announced its earnings results on Wednesday. The computer hardware maker reported $1.62 EPS for the quarter, beating the consensus estimate of $1.54 by $0.08, FiscalAI reports. NVIDIA had a net margin of 53.01% and a return on equity of 99.24%. The company had revenue of $68.13 billion during the quarter, compared to the consensus estimate of $65.56 billion. During the same quarter in the prior year, the company posted $0.89 earnings per share. The firm’s revenue for the quarter was up 73.2% on a year-over-year basis.

Here are the key takeaways from NVIDIA’s conference call:

• NVIDIA reported a record quarter with total revenue of $68 billion (up 73% YoY) and Q4 data center revenue of $62 billion (up 75% YoY), and guided to continued sequential revenue growth into calendar 2026 with Q1 revenue expected at $78 billion ±2%.
• The company highlighted strong inference leadership and power-efficiency gains from its Blackwell architecture and NVL72/GB300 systems — claiming up to 50x performance per watt and materially lower cost-per-token — while networking revenue surged to $11 billion, up >3.5x YoY.
• NVIDIA unveiled the Rubin platform (Vera CPU, Rubin GPU, NVLink‑6, Spectrum‑6, BlueField‑4) and shipped first Vera Rubin samples, targeting production shipments in the second half of the year, which management expects will be widely adopted by cloud model builders.
• Management secured inventory and purchase commitments extending into calendar 2027, generated $35 billion free cash flow in Q4 and $97 billion for FY26, and returned $41 billion to shareholders, supporting capital flexibility and buybacks.
• Geopolitical/china risk remains unresolved — only limited H200 approvals so far with no China revenue yet — and company warned Chinese competitors could disrupt the global AI industry over the long term.

NVIDIA Stock Performance

NASDAQ NVDA traded down $8.64 during trading on Thursday, hitting $186.92. 77,085,716 shares of the company’s stock traded hands, compared to its average volume of 168,305,547. The company has a debt-to-equity ratio of 0.06, a quick ratio of 3.71 and a current ratio of 4.47. The stock has a market capitalization of $4.54 trillion, a price-to-earnings ratio of 46.72, a PEG ratio of 0.58 and a beta of 2.31. NVIDIA has a 12-month low of $86.62 and a 12-month high of $212.19. The business has a 50 day moving average of $186.30 and a 200-day moving average of $183.88.

NVIDIA Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Wednesday, March 11th will be paid a $0.01 dividend. This represents a $0.04 dividend on an annualized basis and a yield of 0.0%. The ex-dividend date is Wednesday, March 11th. NVIDIA’s payout ratio is currently 0.99%.

Wall Street Analyst Weigh In

Several research firms have commented on NVDA. New Street Research reiterated a “buy” rating and issued a $307.00 price objective on shares of NVIDIA in a research note on Thursday, October 30th. Argus reaffirmed a “buy” rating and issued a $220.00 target price on shares of NVIDIA in a report on Thursday, November 20th. Piper Sandler reaffirmed an “overweight” rating on shares of NVIDIA in a research report on Thursday. Seaport Research Partners lifted their price target on NVIDIA from $100.00 to $140.00 and gave the stock a “sell” rating in a report on Monday, November 17th. Finally, Zacks Research downgraded NVIDIA from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 12th. Three research analysts have rated the stock with a Strong Buy rating, forty-seven have issued a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Buy” and a consensus target price of $271.32.

NVIDIA News Roundup

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Blowout results: Q4 revenue was a record ~$68.1B (up ~73% Y/Y) and adjusted EPS beat estimates; Data Center sales surged (~75% Y/Y), showing broad demand for Blackwell and new Vera Rubin platforms. GlobeNewswire: NVDA Q4 Release
• Positive Sentiment: High forward guide: Management forecasted ~ $78B for Q1 FY27 (±2%), above Street expectations and explicitly highlighted accelerating enterprise AI spend — gives revenue runway for multiple quarters. CNBC: Forecast & Vera Rubin
• Positive Sentiment: Analyst upgrades and price‑target lifts: Multiple firms raised targets (examples to $300) and reiterated buys shortly after the print, supporting further upside expectations. Benzinga: Analyst Moves
• Neutral Sentiment: Strategic wins & product launches: New Rubin chips, expanded hyperscaler partnerships (Meta, AWS, Azure) and Anthropic collaboration strengthen long‑term TAM exposure; helpful but already priced to growth. GlobeNewswire: Partnerships & Tech
• Neutral Sentiment: Small cash return & dividend: Company announced a $0.01 quarterly dividend and continued buyback capacity — positive for shareholder returns but immaterial to valuation near current levels.
• Negative Sentiment: Muted market reaction / valuation concerns: Despite the beat, broader markets reacted cautiously — investors remain sensitive to high Mag‑7 concentration, AI “saaspocalypse” narrative and stretched multiples. Reuters: Muted Response
• Negative Sentiment: China & export uncertainty: NVDA excluded Chinese Data Center revenue from outlook and notes it hasn’t yet generated revenue from some China‑bound chips, leaving geopolitical/sales risk. CNBC: China export issues
• Negative Sentiment: Competitive & market structure risks: Hyperscalers are diversifying (notably Meta deals with AMD), which could pressure long‑term share/pricing even as overall TAM grows. MarketBeat: Meta → AMD

Insider Transactions at NVIDIA

In other news, EVP Debora Shoquist sold 80,000 shares of the business’s stock in a transaction that occurred on Thursday, December 11th. The shares were sold at an average price of $178.90, for a total value of $14,312,000.00. Following the sale, the executive vice president owned 1,494,443 shares of the company’s stock, valued at $267,355,852.70. The trade was a 5.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CFO Colette Kress sold 30,500 shares of the firm’s stock in a transaction that occurred on Friday, December 12th. The stock was sold at an average price of $178.11, for a total transaction of $5,432,355.00. Following the completion of the transaction, the chief financial officer directly owned 1,286,826 shares of the company’s stock, valued at approximately $229,196,578.86. This trade represents a 2.32% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 1,610,848 shares of company stock valued at $291,619,375. 4.17% of the stock is currently owned by insiders.

Hedge Funds Weigh In On NVIDIA

Several hedge funds have recently made changes to their positions in NVDA. State Street Corp lifted its holdings in shares of NVIDIA by 1.2% in the fourth quarter. State Street Corp now owns 991,480,489 shares of the computer hardware maker’s stock worth $184,911,111,000 after buying an additional 11,451,386 shares in the last quarter. Geode Capital Management LLC grew its stake in NVIDIA by 0.6% during the fourth quarter. Geode Capital Management LLC now owns 588,803,093 shares of the computer hardware maker’s stock valued at $109,446,217,000 after acquiring an additional 3,383,441 shares in the last quarter. Norges Bank bought a new stake in NVIDIA during the 4th quarter worth approximately $62,244,133,000. Bank of America Corp DE lifted its stake in NVIDIA by 1.5% in the 4th quarter. Bank of America Corp DE now owns 187,181,484 shares of the computer hardware maker’s stock worth $34,909,347,000 after purchasing an additional 2,849,678 shares in the last quarter. Finally, Legal & General Group Plc boosted its holdings in NVIDIA by 1.5% in the 3rd quarter. Legal & General Group Plc now owns 181,203,035 shares of the computer hardware maker’s stock valued at $33,808,862,000 after purchasing an additional 2,609,560 shares during the period. 65.27% of the stock is currently owned by hedge funds and other institutional investors.

NVIDIA Company Profile

NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.

The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.