Nvidia Earnings Fail to Boost Semiconductor Stocks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 27 2026
0mins
Should l Buy NVDA?
Source: Benzinga
- Nvidia Earnings Reaction: Nvidia reported fourth-quarter revenue of $68.13 billion, a 73% year-over-year increase that surpassed the Street's estimate of $66 billion, yet failed to excite investors, leading to a decline in semiconductor stocks.
- Strong Data Center Performance: The data center segment generated a record $62.3 billion in revenue, rising 75% year-over-year, indicating robust market demand, but concerns about AI profitability persist among investors.
- Increased Market Volatility: Rising oil prices and bond yields have heightened market volatility, with Nvidia shares dropping 5.5%, negatively impacting the entire semiconductor index and causing declines in other chipmakers like Broadcom and AMD.
- Cautious Future Outlook: Although Nvidia expects first-quarter revenue between $76.44 billion and $79.56 billion, exceeding the Street estimate of $71.96 billion, supply constraints may affect the gaming segment, raising investor concerns about future performance.
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Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 167.520
Low
200.00
Averages
264.97
High
352.00
Current: 167.520
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is a full-stack computing infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. The Company’s segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing platforms and artificial intelligence (AI) solutions and software; networking; automotive platforms and autonomous and electric vehicle solutions; Jetson for robotics and other embedded platforms, and DGX Cloud computing services. The Graphics segment includes GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems, and Omniverse Enterprise software for building and operating industrial AI and digital twin applications.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Palantir Contract Growth: Palantir Technologies' AI platform has enabled existing customers to expand contracts significantly, with a utility company increasing its annual contract value from $7 million to $31 million, showcasing the tangible value of AI applications.
- Investment Trends: Major tech companies are expected to invest nearly $700 billion this year to support the demand for AI products and services, indicating strong market confidence and potential growth opportunities for AI, despite challenges faced by individual companies.
See More
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See More
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- Palantir Contract Expansion: Palantir's AI platform has enabled clients to better analyze data, with contract values increasing from $7 million to $31 million, indicating successful real-world applications of AI technology that meet customer expectations.
- Investment Trends: While some companies may face challenges, overall demand for AI remains strong, with major tech firms expected to invest nearly $700 billion this year to support this growth, suggesting that AI continues to be a solid long-term investment opportunity.
See More
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See More
