Nvidia Revenue Nearly Doubles on AI Demand, Lifting Tech Stocks

Nvidia reported robust guidance that lifted its stock more than 7 percent in premarket trading Thursday, with investors interpreting the results as evidence that demand for advanced artificial intelligence chips remains far from exhausted. The company projected 70 percent revenue growth for fiscal 2028, a figure Chief Executive Jensen Huang described as conservative given what he called even stronger underlying interest. Chief Financial Officer Colette Kress reinforced the outlook by noting greater visibility into the supply chain than in prior years.

Other semiconductor firms quickly followed the upward move. Micron Technology climbed 4.5 percent, Marvell Technology rose 5.7 percent, and Arm Holdings gained 4.7 percent. Intel and Advanced Micro Devices each posted smaller advances. Shares of cloud infrastructure providers Nebius and CoreWeave also moved higher in early trading. Broader futures tied to the Nasdaq-100 outperformed other major indexes as technology names drew renewed buying.

Analysts highlighted persistent bottlenecks that could slow the pace of expansion. Taiwan Semiconductor Manufacturing, Nvidia's primary foundry partner, continues to operate near capacity, while high-bandwidth memory chips remain scarce. Huang acknowledged the constraints directly, stating that demand exceeds the company's ability to deliver product. Some observers noted that these shortages may temper near-term growth even as long-term expectations stay elevated.

The results also drew attention to Nvidia's commanding position in the most advanced AI accelerators. Several large technology firms and research labs have begun developing custom chips, a development analysts described as a potential check on Nvidia's market dominance. This shift comes as investors continue to scrutinize heavy capital spending by hyperscale cloud operators and question whether returns will justify the outlays.

Salesforce and CrowdStrike provided additional support for technology shares after both companies raised full-year forecasts and reported better-than-expected quarterly results. Salesforce shares jumped more than 11 percent following its announcement of expanded integration with Anthropic's Claude models. CrowdStrike rose nearly 10 percent on stronger revenue guidance.

Global markets reflected the positive sentiment. South Korea's KOSPI index closed 1.5 percent higher, while data storage companies Sandisk and Western Digital posted gains of 4.5 percent and 3.9 percent, respectively. Yet some strategists urged caution, noting that selective buying rather than broad enthusiasm may characterize the next phase of the AI trade.

The earnings season has so far eased immediate fears of an abrupt slowdown in AI-related investment. At the same time, the concentration of advanced chip production and the reliance on a handful of suppliers continue to raise questions about resilience and competition across the broader technology sector.