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Nvidia Tops Q3, Lifts Outlook as Shares Pull Back

A valuation reset is clipping the post-earnings rally even with data center demand accelerating.

Overview

  • Nvidia reported $57 billion in fiscal Q3 revenue and $1.30 in adjusted EPS, beating estimates, and forecast roughly $65 billion for Q4 above consensus.
  • Data Center revenue reached $51.2 billion as cloud GPUs remained sold out at major hyperscalers, with Blackwell sales exceeding $13 billion after nearly 50% sequential growth.
  • The company increased inventory by 32% quarter over quarter to support larger customer orders as supply of GB200 and GB300 improved.
  • Shares reversed an early post-report gain and fell to the high $170s, reflecting valuation pressure despite the strong results and guidance.
  • Analysts raised targets, lifting the FactSet average to about $250 and Evercore ISI’s Mark Lipacis to $352, while Foxconn announced a $1.4 billion Nvidia-powered supercomputing center slated for the first half of 2026.