By Patrick Sanders
Publication Date: 2026-11-08 16:50:00
Nvidia (NVDA +2.77%) has made investors a tremendous amount of money over the past several years. But lately, the artificial intelligence chipmaker has been heading in the wrong direction.
Shares have been essentially flat so far in 2026 and have fallen about 22% from their all-time high. That’s quite a reversal for a company whose revenue more than doubled in its most recent quarter.
And I think investors are getting an opportunity with Nvidia stock.
Image source: Getty Images.
Nvidia reports its fiscal third-quarter earnings on Nov. 17, and I’m expecting another blowout performance. The company’s financial results and the extraordinary demand for AI computing suggest its growth story has plenty of room to run.
Nvidia’s business isn’t slowing down
In its fiscal second quarter, which ended July 26, Nvidia generated $96.2 billion in revenue, up 106% from a year earlier. Data center revenue reached $89 billion, an increase of 117%.
Those are remarkable growth rates for a company operating at Nvidia’s scale.
Management expects third-quarter revenue of approximately $108 billion, representing another 12% sequential increase at the midpoint. Nvidia also forecasts a non-GAAP gross margin of 74%, suggesting it expects to maintain substantial pricing power despite its enormous sales volume.
And there are good reasons to believe demand remains strong. SK Hynix, a major supplier of high bandwidth memory used in AI accelerators, has indicated that its advanced memory capacity…
