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NVIDIA
NVIDIA's record fourth-quarter revenue underscores its strength in the data center segment and its strategic advantage in the booming AI market.
(AI video summary)
This video was created on 26 February 2026 for IG audiences by ausbiz.
NASDAQ code: NVDA
NVIDIA reports record revenue and positive outlook
NVIDIA, a leading tech stock, posted a record fourth-quarter (Q4) revenue of US$68.1 billion, with data center revenue up 75% year-over-year (YoY). Wall Street's major indices climbed to two-week highs, spurred by technology stocks, as NVIDIA shares rose over 3% in extended trading. The stock is known for its volatility, influenced by artificial intelligence (AI) sentiment.
Strategic positioning in AI market growth
Despite AI's early adoption, NVIDIA's platform - comprising graphics processing units (GPUs), switching, and CUDA software - positions it well. With US$130 billion revenue reported in 2025 and projections to exceed US$200 billion, NVIDIA is poised for continued earnings per share (EPS) growth.
Valued at US$4 trillion (about A$6.6 trillion), NVIDIA's revenue and earnings growth rates exceed 50%. It trades at a forward price-to-earnings (P/E) ratio of 25, seen as reasonable for its growth. The company's hardware-software integration strengthens business connections and chip advancements.
Investment outlook
NVIDIA's impressive earnings and AI market position reinforce its leadership status. While its valuation shows dominance, additional growth may lie in the broader AI ecosystem. Investors might hold NVIDIA shares while exploring emerging AI stocks for diversity.
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