AI giant Nvidia Q4 results smash expectations, revenue jumps 20% QoQ; stock extends year-long rally

Nvidia designs the graphics processing units that have become the backbone of the global artificial intelligence boom

• Nvidia Q4 revenue hit $68.1B, up 73% year-over-year
• Full-year 2026 revenue reached $215.9B, up 65% annually
• Nvidia expects Q1 2027 revenue of about $78B

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Nvidia delivered a stunning set of quarterly numbers, underscoring the relentless momentum behind the global artificial intelligence expansion. The company reported fourth-quarter revenue of $68.1 billion for the period ending January 25, 2026, marking a 73 percent jump from the same time last year and a 20 percent rise from the prior quarter. The result comfortably exceeded analysts’ expectations of $65.7 billion.

The performance highlights how demand for AI-focused chips continues to accelerate at an extraordinary pace. For the full fiscal year 2026, Nvidia generated $215.9 billion in revenue, reflecting a 65 percent annual increase.

Nvidia shares rose as much as 3% in after-hours trading before giving up most gains. The stock was up slightly in late trading, extending its year-long rally of nearly 55 percent gains.

“Computing demand is growing exponentially -- the agentic AI inflection point has arrived. Grace Blackwell with NVLink is the king of inference today -- delivering an order-of-magnitude lower cost per token -- and Vera Rubin will extend that leadership even further,” said Jensen Huang, founder and CEO of NVIDIA. “Enterprise adoption of agents is skyrocketing. Our customers are racing to invest in AI compute -- the factories powering the AI industrial revolution and their future growth.”

Profitability remained strong, with quarterly GAAP and non-GAAP gross margins at 75.0 percent and 75.2 percent, respectively. For the full fiscal year, margins came in at 71.1 percent (GAAP) and 71.3 percent (non-GAAP). Earnings per diluted share stood at $1.76 on a GAAP basis and $1.62 non-GAAP for the quarter, while annual figures reached $4.90 and $4.77.

The company also returned significant capital to investors, distributing $41.1 billion through share buybacks and dividends during fiscal 2026. As of the end of the quarter, $58.5 billion remained authorized for future repurchases. Nvidia confirmed it will issue a quarterly dividend of $0.01 per share on April 1, 2026, for shareholders on record as of March 11.

Looking ahead, Nvidia expects first-quarter fiscal 2027 revenue of about $78.0 billion, with a margin of error of 2 percent, noting it does not anticipate any Data Center compute revenue from China in that forecast. Gross margins are projected at roughly 74.9 percent (GAAP) and 75.0 percent (non-GAAP).

The company added that starting in fiscal 2027, stock-based compensation will be included in non-GAAP results, emphasising its role in attracting top-tier talent.