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Nvidia delivers better-than-expected guidance after Q4 results top estimates

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Investing.com - Nvidia on Wednesday reported Q4 results that topped estimates and delivered better-than-expected revenue guidance for the current quarter, stoking optimism on demand outlook for the chipmaker's next-generation AI Blackwell chips.

NVIDIA Corporation (NASDAQ:NVDA) traded choppy around the flatline in afterhours trading following the results.

For the three months ended Jan. 26, the company announced Q4 adjusted earnings per share of $0.89, up from $0.81 in the same period a year earlier, on revenue of $39.3B, up 78% from a year ago. Analysts polled by Investing.com anticipated EPS of $0.84 on revenue of $38.16B.

Data center, which makes up the bulk of revenue, revenue was $35.6B, up 16% from Q3, beating estimates for $34.1B.

Looking ahead to Q1, the company forecast revenue $43B, beating forecasts of $42.05B. Gross margin for Q1 was forecast to come in at 70.6%.

"We’ve successfully ramped up the massive-scale production of Blackwell AI supercomputers, achieving billions of dollars in sales in its first quarter," the company said.

The better-than-expected guidance stoked optimism about demand for the company's next-gen AI Blackwell chips and also alleviate concerns somewhat about rising competition
for enterprise spending from Chinese AI firms including Deepseek.

The emergence of a low-cost Chinese artificial intelligence model had weighed on Nvidia recently amid investor worries about a sharp decline in AI capex, because "the new models cost far less to train and use than those made by Western counterparts," Truist Securities said in a note ahead of the earnings report.

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