Nvidia Earnings Smash Forecasts, CEO Says AI Only Improves

Nvidia earnings once again exceeded Wall Street projections for the fourth quarter, reinforcing the chipmaker's dominance as the world's most valuable public company. The semiconductor giant reported results after U.S. markets closed on Wednesday, February 25, revealing $68.1 billion in quarterly revenue -- a 73% jump from the same period last year -- and adjusted earnings per share of $1.62, both comfortably ahead of consensus estimates.

Nvidia Q4 Results Blow Past Analyst Targets

Nvidia handily topped the figures analysts had penciled in, with Wall Street expecting roughly $66.1 billion in revenue and $1.54 in adjusted EPS, according to FactSet data. Shares surged as much as 4% in post-market trading on Wednesday before trimming some of those advances, settling around 1% higher in after-hours activity.

Investors quickly pivoted to forward guidance. Nvidia projected first-quarter revenue of approximately $78 billion, well above the $72.9 billion consensus forecast, establishing a bullish tone for the next wave of AI-driven expansion.

The Data Center division delivered a standout quarter, generating a record $62.3 billion in revenue -- up 75% year-over-year and 22% sequentially. Nvidia attributed the surge to major platform shifts in accelerated computing and artificial intelligence.

What Did Nvidia's Leadership Say About AI Demand?

AI infrastructure spending shows no signs of slowing, according to Nvidia's top executives. During the post-earnings conference call, CFO Colette Kress disclosed that the company has scaled its data center business by nearly 13x since the emergence of ChatGPT. She added that Nvidia already has inventory and supply commitments secured to meet future demand, with shipments extending into 2027.

President and CEO Jensen Huang struck an even more bullish tone, arguing that historical computing demand represented only a small fraction of what lies ahead.

AI is here. AI is not going to go back. AI is only going to get better from here.

Analyst Reaction and Market Sentiment

The strong results prompted swift reaction from market commentators. Thomas Monteiro, senior analyst at Investing.com, said the report represents a forceful rebuttal against concerns that hyperscaler AI growth might plateau heading into 2027. He noted that the roughly 75% surge in data center revenue confirms that large-scale AI infrastructure deployment remains firmly in expansion territory.

How Did Crypto Markets React to Nvidia Earnings?

Bitcoin held steady near $69,000 following the Nvidia announcement, building on a roughly 10% rally from lows set earlier in the week on Tuesday. Traders appeared to view the earnings beat as a positive macro signal for risk assets.

AI-focused crypto tokens responded more directly. Bittensor (TAO) and Internet Computer (ICP) both added to earlier gains after the results dropped, though they later pared some of those advances. Crypto mining companies increasingly tied to AI and high-performance computing infrastructure -- including IREN, Cipher Digital (CIFR), and TeraWulf (WULF) -- traded 1%-2% higher in after-hours sessions before giving up those gains.

What This Means Going Forward

Nvidia's blowout quarter and aggressive forward guidance underscore that the AI infrastructure supercycle remains intact heading into the second half of 2026. For crypto markets, the connection between AI capital expenditure and digital asset sentiment continues to tighten, with AI tokens and mining stocks increasingly trading as proxies for broader artificial intelligence momentum. Whether the $78 billion first-quarter revenue target holds up when Nvidia next reports could ripple across both tech equities and AI-correlated crypto assets.