Nvidia earnings beat Wall Street’s sky-high expectations, but the stock is falling

Nvidia reported Q2 FY2026 revenue of USD 46.7 billion, up 6% from the previous quarter and 56% year-on-year. Net income surged to USD 26.4 billion, rising 59% annually. Its Blackwell Data Center revenue grew 17% sequentially, fueling strong results. GAAP earnings per share hit USD 1.08, up 61% from a year ago, while gross margins stood at 72%. CEO Jensen Huang highlighted Blackwell as the core platform driving the AI boom. Nvidia returned USD 24.3 billion to shareholders in H1 and added USD 60 billion to its share repurchase plan. A quarterly dividend of USD 0.01/share will be paid Oct. 2.

“Production of Blackwell Ultra is ramping at full speed, and demand is extraordinary,” CEO Jensen Huang said of the tech behemoth’s next-generation AI chip, which is used in data centers globally, in the earnings release. “The AI race is on, and Blackwell is the platform at its center.”

Nvidia earnings

Investors reacted cautiously to the results, with shares slipping more than 3% in after-hours trading to about $175 on Wednesday.

“(The stock movements are) probably just an initial reaction to a so-so number,” Scott Bickley, advisory fellow at Info-Tech Research Group told Fortune before the earnings call. “Which is kind of insane that we’re viewing $46.7 billion in a quarter” as ‘so-so,’ he said.

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