By John Bromels, The Motley Fool
Publication Date: 2026-03-25 11:25:00
Superstar AI stock Nvidia (NASDAQ: NVDA) is making shareholders nervous. Its stock is trading down more than 16% off its highs, despite a recent blowout quarter and rosy guidance.
Wall Street seems concerned that AI spending is going to suddenly dry up and that the leading chipmaker’s revenue will dry up with it.
Will AI create the world’s first trillionaire? Our team just released a report on the one little-known company, called an “Indispensable Monopoly” providing the critical technology Nvidia and Intel both need. Continue »
But last week, investors got two unexpected reveals that should boost Nvidia’s revenue beyond even its lofty projections. This could be the spark Nvidia’s stock needs to shake out of its slump. Here’s why.
Nvidia’s cutting-edge chips aren’t cheap. In 2024, CEO Jensen Huang estimated that its Blackwell graphics processing units (GPUs) would cost $30,000 to $40,000 each. An entire server rack, which includes multiple GPUs, other chips, and cooling and power infrastructure, costs much more. The per-rack cost of Nvidia’s latest generation of Vera Rubin GPUs is estimated to be at least $3.5 million, but could be $8.8 million or more for a high-end configuration.
Of course, there are other, presumably cheaper options. In October 2025, Amazon (NASDAQ: AMZN) launched its largest AI data center in Indiana to power Anthropic, using its own Amazon Web Services (AWS) Trainium2 chips. It was touted as “the…
