Core Insights - Stocks driven by artificial intelligence (AI) are experiencing more moderate growth after a period of significant gains, leading to questions about the sustainability of AI adoption [1] - Nvidia, a leader in AI technology, faces concerns about competition and slowing growth, raising doubts about its future performance [2] Financial Performance - For fiscal 2026 Q2, Nvidia reported revenue of $46.7 billion, a 56% increase year-over-year and a 6% increase sequentially, with earnings per share (EPS) of $1.08, up 82% [4] - The data center segment revenue surged by 61%, driven by AI adoption, and management projects Q3 revenue of $54 billion, indicating a 54% year-over-year growth [5] - Wall Street analysts estimate Q3 revenue at $54.66 billion and adjusted EPS at $1.24, reflecting a slight deceleration from Q2 but still showing strong growth [6] Market Trends - Despite narratives suggesting a slowdown in data center build-out for AI adoption, evidence indicates continued growth, particularly among major cloud providers and large tech companies [7] - Nvidia faces tough comparisons after two years of rapid growth, but there are indications that the company still has potential for further expansion, albeit not in a linear fashion [8]