Nvidia Posts Record $68.1 Billion Quarter, Stock Surges Past $200 as AI Spending Shows No Signs of Slowing
Nvidia reported Q4 FY2026 revenue of $68.1 billion - beating Wall Street estimates by nearly $2 billion - and guided Q1 to $78 billion, sending shares above $200 for the first time.
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Nvidia just reported the largest quarterly revenue in the company's history - $68.1 billion for Q4 FY2026, up 78% from a year ago - and guided next quarter even higher, to $78 billion. Shares jumped above $200 in after-hours trading, pushing Nvidia's market cap past $4.8 trillion.
Wall Street expected roughly $66 billion. Nvidia beat that by more than $2 billion. The guidance was the real shock: consensus for Q1 FY2027 sat at around $72 billion. Nvidia's $78 billion call blew past it by $6 billion, signaling that hyperscaler demand for its Blackwell GPU architecture is accelerating, not plateauing.
TL;DR
- Q4 FY2026 revenue: $68.1B (beat ~$66B consensus), up 78% YoY
- Data center revenue: $62.3B - 91.5% of total revenue, up 75% YoY
- Non-GAAP EPS: $1.62 (beat $1.53 consensus)
- Q1 FY2027 guidance: $78.0B (+/- 2%), roughly $6B above consensus
- Full-year FY2026: $215.9B total revenue, up 65% YoY
- Stock: surged past $200/share after-hours, market cap above $4.8 trillion
The Numbers
The headline figure is the data center segment: $62.3 billion in Q4, a record, up 75% year-over-year and 22% sequentially. That is 91.5% of Nvidia's total revenue coming from a single business - selling GPUs and networking gear to the companies building AI infrastructure.
| Metric | Q4 FY2026 | Q4 FY2025 | Change |
|---|---|---|---|
| Revenue | $68.1B | $38.3B | +78% |
| Data Center | $62.3B | $35.6B | +75% |
| Gaming | $2.5B | $2.5B | flat |
| Non-GAAP EPS | $1.62 | $1.08 | +50% |
| Gross Margin (GAAP) | 73.0% | 73.0% | flat |
For the full fiscal year, Nvidia posted $215.9 billion in revenue, up 65% from FY2025. GAAP diluted earnings per share came in at $4.90.
The gross margin held steady at 73% GAAP. Nvidia had warned last quarter that Blackwell ramp costs would pressure margins temporarily, but that pressure has not materialized in any meaningful way yet.
Blackwell Ramp
Jensen Huang, Nvidia's CEO, used the earnings call to declare that "the age of agentic AI has arrived" and that Blackwell is shipping at scale.
The Blackwell architecture - including the GB200 and GB300 configurations - is now in full production across all major cloud providers and sovereign AI buildouts. Nvidia said demand continues to outpace supply, with the next-generation Rubin architecture already on the roadmap for 2027.
The $78 billion Q1 guidance implies Nvidia expects the Blackwell cycle to keep accelerating. That is not a maintenance number - it is a 15% sequential increase on top of an already record quarter.
What is Driving It
The short answer: every major tech company on Earth is spending aggressively on AI compute, and Nvidia has no real competition at scale.
Big Tech's combined AI capital expenditure for 2026 is projected at $650 billion. Microsoft, Google, Amazon, Meta, and Oracle are all building or expanding data centers packed with Nvidia GPUs. Meta alone committed to millions of Nvidia chips across a multi-year deal worth tens of billions.
The data center segment is not just about training anymore. Inference - running AI models in production - is becoming the bigger driver as companies deploy AI agents, search, and enterprise tools at scale. Nvidia's CUDA software stack and its dominance in inference optimization make switching to alternatives expensive and risky, which is why even companies cutting deals with AMD keep buying more Nvidia.
The Competition Question
Despite Nvidia's dominance, the AI chip startup space is heating up - companies like MatX, SambaNova, and Axelera raised over $1 billion in a single week earlier this month. Taalas exited stealth with $169 million to build chips that hardcode AI models directly into silicon.
None of these challengers are close to denting Nvidia's revenue. But the scale of investment signals that hyperscalers want alternatives, even if they do not have them yet. For now, Nvidia's $78 billion guidance says the market belongs to Jensen Huang.
Capital Return
Nvidia announced a $0.01 per share quarterly dividend and has $58.5 billion remaining under its share repurchase authorization. The company also noted that starting Q1 FY2027, it will begin including stock-based compensation expenses in its non-GAAP financial measures - a transparency move that could affect how analysts model future earnings.
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