The chipmaker’s latest results silence AI bubble critics and send shares soaring after market close.
Nvidia Corporation (NASDAQ: NVDA) delivered a knockout blow to market sceptics on 19 November 2025, reporting third-quarter revenue of US$57 billion that exceeded Wall Street’s expectations by nearly US$2 billion. The results mark a 62% year-over-year surge and represent one of the most decisive earnings beats in recent tech history.
CEO Jensen Huang dismissed concerns about an artificial intelligence bubble, declaring that demand for the company’s flagship Blackwell chips remains “off the charts” despite mounting investor anxiety.
Blackwell Chips Drive Unprecedented Growth
Nvidia’s data centre business generated US$51.2 billion in revenue, jumping 25% from the previous quarter and 66% year-over-year. This single division now accounts for nearly 90% of total company revenue, cementing Nvidia’s position as the backbone of global AI infrastructure.
The company’s Blackwell GPU family has become the industry standard for training and running large language models. Huang stated on the earnings call: “Blackwell sales are off the charts, and cloud GPUs are sold out. Compute demand keeps accelerating and compounding across training and inference“.
Gaming revenue also showed impressive resilience, hitting US$4.3 billion, up 30% from the year-ago period. The company’s professional visualisation business reported US$760 million in sales, up 56% year-over-year, including strong uptake of its new DGX Spark AI desktop computer.
Nvidia’s data centre business generated US$51.2 billion in Q3
Market Reaction Signals Investor Confidence
Following the announcement, Nvidia’s stock surged by 2.85% in aftermarket trading to US$184.66. The share price movement reflects growing confidence in the company’s ability to maintain its dominant market position amid increasing competition.
The earnings per share of US$1.30 exceeded analyst forecasts of US$1.25, representing a 4% surprise on the upside. Net income reached US$32 billion, climbing 65% year-over-year.
For investors tracking AI and big tech stocks, these results validate the thesis that artificial intelligence infrastructure spending shows no signs of slowing.
Forward Guidance Exceeds Expectations
Perhaps more significantly than the quarterly beat, Nvidia projected fourth-quarter revenue of approximately US$65 billion, plus or minus 2%. This forecast substantially exceeded analyst expectations of US$62 billion and suggests the company sees continued strength ahead.
CFO Colette Kress revealed during the earnings call that Nvidia currently has visibility to a half-trillion dollars in Blackwell and Rubin revenue from the start of this year through the end of calendar 2026. This massive order backlog provides exceptional revenue visibility rarely seen in the semiconductor industry.
The company’s gross margins remained robust at 73.4% on a GAAP basis, demonstrating pricing power and operational efficiency even amid rapid production scaling.
China Headwinds Fail to Dampen Performance
One notable challenge emerged in Chinese markets. Kress disclosed that shipments of H20, a data centre GPU designed for Chinese customers, reached just 50 million units due to geopolitical restrictions and competitive pressure from domestic alternatives.
Despite these China-related constraints, Nvidia’s performance demonstrates the company’s ability to thrive in markets outside the world’s second-largest economy. The continues adapting to shifting trade dynamics.
Addressing the AI Bubble Narrative
During the earnings call, Huang directly confronted analysts discussing an AI bubble: “There’s been a lot of talk about an AI bubble. From our vantage point, we see something very different“. He outlined how Nvidia benefits from every phase of AI development, from pre-training and post-training to inference.
The CEO’s confidence appears well-founded given that hyperscalers like Microsoft, Meta, Amazon, and Alphabet collectively plan to spend over US$380 billion on AI infrastructure in 2025. These massive capital expenditure programmes create sustained demand for Nvidia’s products.
Jensen Huang, Founder, President, and CEO of Nvidia
Broader Market Implications
Nvidia’s stellar results lifted other semiconductor stocks in after-hours trading. AMD shares rose nearly 4%, while Micron climbed more than 3%. The positive sentiment also spread to major tech companies, with Amazon, Google, Meta, and Microsoft shares advancing.
For Australian investors tracking global technology trends, Nvidia’s performance reinforces the strategic importance of AI infrastructure investments. The company’s success demonstrates how critical semiconductors have become to the modern economy.
What Comes Next
With shares trading near their 52-week high of US$212.19, investors will watch closely to see if Nvidia can sustain this momentum. The company’s ability to deliver on its ambitious revenue forecasts while maintaining margins will determine whether the current valuation proves justified.
The fourth quarter will provide crucial insights into whether Blackwell demand remains as robust as Huang suggests, and whether competitive pressure from AMD and emerging players impacts market share.
For now, Nvidia has silenced the doubters and demonstrated that the AI revolution shows no signs of slowing down.
