Nvidia beats earnings forecasts amid Wall Street’s AI jitters

Chip giant Nvidia beat Wall Street’s expectations for revenue and upcoming sales, easing fears about AI spending that have jolted the stock market in recent days.

In its quarterly earnings report on Wednesday, the company said revenue for the three months to October jumped 62% to $57bn, driven by demand for its chips used in AI data centres. Sales from that division rose 66% to more than $51bn.

Fourth-quarter sales forecasts in the range of $65bn also topped estimates, sending shares in Nvidia more than 3% higher in after-hours trading.

Nvidia, the world’s most valuable company, is seen as a bellwether for the AI boom. The chip-maker’s results could inform market sentiment.