How should investors assess the report? Nvidia shareholders have been best served by taking a long-term view on the stock and not selling in response to volatility. Unless there is a dramatic change in Nvidia’s long-term fundamental outlook, they should hold steady.
The stock may go up or down this week or next month, but over time, Nvidia’s solid fundamentals have tended to win out. Big Tech has continued to increase its capital expenditure budgets, while emphasizing that demand for AI is outstripping capacity. According to William Blair, publicly announced data-center deployments for 2026 could add nearly $100 billion in revenue for Nvidia, including sovereign AI initiatives and new GPU cloud projects from OpenAI, CoreWeave, xAI, Oracle, and others.
With the production of Nvidia’s AI rack servers just ramping up, several quarters of robust financial performance should be on the way. As long as demand for AI computing resources keeps increasing, Nvidia’s stock should rise as well.