NVIDIA Profits Surge Amid AI Boom, Shares Dip

NVIDIA Corporation reported a substantial increase in third-quarter profits and revenue, driven by the ongoing AI boom, achieving a net income of $19.3 billion, or $0.78 per share, surpassing analyst expectations of $0.75 per share, with a 94% year-over-year revenue growth to $35.1 billion. Despite these strong financial results, NVIDIA's shares fell in extended trading due to investor expectations for even higher future guidance. The fourth-quarter revenue forecast of $37.5 billion was slightly above estimates but failed to impress investors anticipating even higher figures. CEO Jensen Huang highlighted the soaring demand for AI chips, particularly for data centers, despite facing supply chain constraints. The company's stock has significantly outperformed its peers, reflecting its pivotal role in the AI sector.