By Daniel Sparks
Publication Date: 2026-03-05 04:30:00
When it comes to the artificial intelligence (AI) boom, few companies are as central to it as Nvidia (NVDA 1.62%) and Amazon (AMZN +0.39%). Even more, both companies have seen their revenue growth rates accelerate recently.
Still, if you were to judge strictly by the two companies’ growth rates alone, choosing between the two would be easy. Nvidia posted a staggering 73% year-over-year revenue increase to $68.1 billion. And Amazon’s sales rose 14% to $213.4 billion, reflecting a more diversified operational base.
Of course, there’s more to the story.
Let’s look closely at the underlying businesses to see which stock is the more compelling buy.
Image source: Getty Images.
Nvidia: Incredible growth but high expectations
There is no denying that Nvidia’s business momentum is astounding. The chipmaker’s fiscal fourth-quarter results were driven by its data center segment, which saw revenue rise 75% year over year to a record $62.3 billion. This segment, driven by AI demand, now accounts for the vast majority of the company’s overall sales.
Interestingly, however, the stock actually fell after the company reported these impressive results late last month — a reaction that highlights a core challenge for the stock: expectations are high.
Fortunately, management expects continued strong growth in the near term. It expects fiscal first-quarter revenue of about $78 billion, representing 77% year-over-year growth. This would mark yet another quarter of accelerating top-line…
