Nvidia Stock Rises on Strong Q1 Earnings and AI Growth
May 29, 2025 By MarketDepth
Nvidia’s stock jumped over 5% after the company reported strong results for the first quarter of its 2026 fiscal year. The tech giant brought in $44.1 billion in revenue, a 69% increase compared to the same period last year. Most of this growth came from its data center business, which earned $39.1 billion, up 73% year-over-year. Net income reached $19.89 billion, with adjusted earnings per share at $0.96.
Even with U.S. export restrictions affecting sales to China, Nvidia managed to navigate the situation by repurposing unsold chips, helping reduce a $4.5 billion charge. The company expects an $8 billion impact in the next quarter from lower China sales but is already expanding its business in other regions like Saudi Arabia, the UAE, and Taiwan.
Nvidia also launched the Blackwell NVL72, a powerful AI supercomputer built for generative AI and large language models. Its gaming division also saw strong performance, generating $3.8 billion in revenue thanks to new GeForce RTX 5070 and 5060 GPUs.
Overall, Nvidia’s results highlight its ongoing strength in the AI market, resilience against global trade challenges, and commitment to innovation. The strong earnings and forward momentum sparked investor confidence, pushing the stock higher in after-hours trading.
