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NVIDIA Tops Estimates, Grows +41% on Data Center

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Wednesday, August 27, 2025

It was another quietly positive day for the stock market, with all four major indexes closing in the green this Hump Day. The Dow gathered another +147 points, +0.32%, while the S&P 500 — notching another all-time closing high in the process — gained +15 points, +0.24%. The Nasdaq was +14, +0.21%, and the small-cap Russell 2000 came in +15 points, +0.64%. Bond yields cooled a few basis points among the 10-year, 2-year and 30-year t-bills.

NVIDIA Reports Healthy Q2, Adds Buyback


The biggest earnings news of this week just came across the wires in the past few minutes: NVIDIA (NVDA - Free Report) , the supreme AI stock play in the world, easily beat estimates on both top and bottom lines — estimates that were already quite extraordinarily high. Earnings of $1.05 per share outpaced the $1.00 expected, and well past the 68 cents per share reported in the year-ago quarter.

Revenues of $46.7 billion nicely surpassed the $46.14 billion in the Zacks consensus, with $41.1 billion 9n revenues coming from its Data Center segment alone. That’s up +5% quarter over quarter and +56% year over year. Estimates were for +53.6% revenue growth. These are astonishing numbers for the $4+ trillion market cap giant. Adjusted Gross Margins reached +72.7% for the quarter — another magnificent number, though off the +75% NVIDIA was posting a year ago. 

And the good news just keeps coming: a $60 billion share buyback was OK’d by the company, which has already awarded shareholders $23.4 billion through the first half of the fiscal year. NVIDIA has $56.8 billion in cash. Yet shares are down -3% on the news; the stock is up +35% year to date, and roughly +90% from its April lows.

Other Earnings Reports This Afternoon: URBN, FIVE, SNOW


Urban Outfitters (URBN - Free Report) also put up strong numbers in its Q2 report after today’s close, with earnings of $1.58 per share zooming ahead of the $1.44 anticipated. Revenues of $1.50 billion in the quarter topped consensus of $1.48 billion and amounted to +11.3% year to date. All four of its main brand stores — Anthropologie, Free People, Urban Outfitters and Nully — built gains from the year-ago quarter.

Five Below (FIVE - Free Report) scorched earnings estimates by 20 cents to 81 cents per share on $1.0 billion in revenues, ahead of the $997.3 million expected. Comps came in at +12.4% in the quarter, and guidance for next quarter is way up on both earnings and sales. Shares are up +2.5% in late trading, adding to its +37.5% gains year to date.

Snowflake (SNOW - Free Report) shares are up +12.7% after posting a Q2 report that was beyond expectations: earnings of 35 cents per share swept ahead of the 26 cents in the Zacks consensus on $1.01 billion in sales, which beat the $1.09 billion estimated and +32% year over year. The cloud-based data analytics firm has now beaten earnings estimates in all but one quarter for now 17 quarters.

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