Newsletter
Nvidia just dropped another monster Q4 earnings, the kind that usually sends Wall Street into a frenzy. But the stock barely moved.
By the numbers: the AI chip giant reported $39.3 billion in revenue, up 78% YoY, with $22.1 billion in net income, an 80% surge from last year.
The data center business alone brought in $35.6 billion, nearly double from a year ago, while Nvidia’s new Blackwell AI chips added $11 billion to the mix.
Wall Street stayed unfazed though. Nvidia has been smashing records for so long that anything short of spectacular feels ordinary.
After months of Nvidia crushing estimates, investors are harder to impress than a desi parent at a school awards function.
What’s ahead: Nvidia expects Q1 revenue at $43 billion, beating forecasts. But margins are slipping. The aggressive Blackwell rollout is a factor, and U.S. tariffs aren’t helping either.
There’s also the competition problem. Chinese AI startup DeepSeek says it can train models on less advanced chips, raising concerns for companies like OpenAI that rely on Nvidia’s hardware.
At this point, Nvidia is so dominant that it's competing with its own customers. Amazon, Google, and Microsoft are now working with Broadcom and Marvell to build AI chips in-house, signaling that the long-term monopoly might not last forever.
For a stock that’s spent the last two years printing money like the RBI, this quarter was just… decent.
Big picture: Nvidia has missed earnings estimates just once in the past five years, but after months of dominance, investors are getting harder to impress. The AI boom is still hot, but there are signs the market might not stay Nvidia’s playground forever.
