By Una Hajdari
Publication Date: 2026-08-26 20:50:00
Nvidia posted quarterly revenue of $96.2 billion (€82.4bn) on Wednesday, comfortably beating the $92.2 billion (€79bn) Wall Street had expected, as chief executive Jensen Huang declared that artificial intelligence had reached a turning point and guided next quarter revenue to $108 billion (€92.5bn) — again, above forecasts.
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“AI has reached its inflection point,” Huang said in a statement. “It’s doing useful work. Its tokens are productive and profitable. Now, compute is revenue, and demand is accelerating.”
Days on which Nvidia reports its quarterly results have an outsized importance for the world’s most valuable company.
At a market capitalisation north of $5 trillion (€4.3tn), it is worth more than the GDP of Japan, the fourth largest economy.
Shares fell 1.8% in after-hours trading shortly after the release. The stock had already ended the regular session 1.6% lower.
Yet there is a strange rite that plays out each quarter: Nvidia beats expectations, and the stock falls anyway. It happened after the first-quarter beat this year, when shares slid close to 5% in the days that followed.
The pattern has left a dynamic where the company needs to significantly outperform an already-bullish consensus, or provide a stronger-than-expected outlook, to move the share price higher.
The concentration problem
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