Group 1 - The U.S. stock market showed moderate gains, with the Dow Jones Industrial Average rising by 0.32%, the Nasdaq Composite increasing by 0.21%, and the S&P 500 up by 0.24% [1] - Nvidia's Q2 revenue reached $46.7 billion, exceeding market expectations of $46.05 billion, marking a year-on-year increase of 56%, but the slowest growth rate since the generative AI boom began in 2023 [2] - Nvidia's data center revenue was $41.1 billion, also up 56% year-on-year, but slightly below analyst expectations of $41.3 billion, marking the second consecutive quarter of missing Wall Street forecasts [2] Group 2 - GPU computing chip revenue was $33.8 billion, down 1% quarter-on-quarter, primarily due to the lack of H20 chip shipments to China, resulting in a sales reduction of approximately $4 billion [2] - Nvidia provided a Q3 revenue outlook of $54 billion, with a 2% fluctuation range, which raised concerns about the slowing growth of AI-related expenditures [2] - Following the earnings report, Nvidia's stock price initially dropped and at one point fell by 5%, indicating the report's significant impact on market sentiment [2]

Group 1 - The U.S. stock market showed moderate gains, with the Dow Jones Industrial Average up 0.32%, the Nasdaq Composite up 0.21%, and the S&P 500 up 0.24% [1] - Nvidia's Q2 revenue reached $46.7 billion, exceeding market expectations of $46.05 billion, marking a year-on-year increase of 56%, but the slowest growth rate since the generative AI boom began in 2023 [1][2] - Nvidia's data center business remains a growth engine, with Q2 revenue of $41.1 billion, also up 56% year-on-year, but slightly below analyst estimates of $41.3 billion [1][2] Group 2 - GPU computing chip revenue was $33.8 billion, a 1% decrease quarter-on-quarter, primarily due to the lack of H20 chip shipments to China, resulting in a sales reduction of approximately $4 billion [2] - Nvidia provided a Q3 revenue outlook of $54 billion, with a 2% fluctuation, which raised concerns about the slowing growth of AI spending [2] - Following the earnings report, Nvidia's stock price initially dropped and widened to a 5% decline, indicating the report's significant impact on market sentiment regarding the AI sector [2]

Core Viewpoint - The article highlights the performance of Nvidia's Q2 earnings report, which is seen as a critical indicator for the AI industry and the broader stock market trends, particularly in the context of Nvidia's influence on the ongoing "super bull market" since April [1][3]. Summary by Sections Market Performance - On Wednesday, U.S. stock indices showed moderate gains, with the Dow Jones up 0.32%, Nasdaq up 0.21%, and S&P 500 up 0.24% [1]. - Nvidia's stock price experienced a slight decline of 0.09%, while other tech giants like Microsoft and Berkshire Hathaway saw increases of over 1% [1]. Nvidia's Q2 Earnings - Nvidia reported Q2 revenue of $46.7 billion, exceeding market expectations of $46.05 billion, marking a year-on-year increase of 56%, but the slowest growth rate since the generative AI boom began in 2023 [1][2]. - The data center business remains a key growth driver, with Q2 revenue of $41.1 billion, also up 56% year-on-year, but slightly below analyst expectations of $41.3 billion [2]. - GPU computing chip revenue was $33.8 billion, down 1% quarter-on-quarter, primarily due to a lack of H20 chip shipments to China, resulting in a $4 billion sales reduction [2]. - The latest Blackwell chip sales grew 17% quarter-on-quarter, accounting for 70% of data center revenue, with cumulative sales reaching $27 billion as of May [2]. Market Reactions and Future Outlook - Following the earnings report, Nvidia's stock price initially dropped, with a decline of up to 5% in after-hours trading [3]. - The earnings report is viewed as a significant factor influencing market confidence in the AI boom, with Nvidia's stock having surged over 30% this year, making it the first company to surpass a $4 trillion market cap [3]. - Nvidia's strong growth expectations continue to support its push towards a $5 trillion market cap, with its performance and outlook likely to dominate the short-term direction of the global tech sector and capital markets [4].

Core Insights - Nvidia reported Q2 FY2026 earnings that exceeded market expectations for both revenue and earnings per share, but the stock fell 5% in after-hours trading due to investor expectations being higher [1][2] - The company's stock has risen approximately 35% year-to-date, significantly outperforming the Nasdaq index's 12% increase during the same period [1] Revenue and Earnings - Q2 revenue reached $46.7 billion, surpassing the market expectation of $46.05 billion, and representing a year-over-year increase of 56%, although it marked the slowest growth since the generative AI boom began in 2023 [1][2] - Adjusted earnings per share (EPS) were $1.05, exceeding the market expectation of $1.01, with net profit rising to $26.42 billion, a 59% increase from $16.6 billion in the same quarter last year [2] Data Center Business - The data center segment remains Nvidia's growth engine, generating $41.1 billion in revenue, a year-over-year increase of 56%, but slightly below analyst estimates of $41.3 billion [2] - GPU computing chip revenue was $33.8 billion, down 1% quarter-over-quarter, primarily due to a lack of H20 chip shipments to China, resulting in a $4 billion sales reduction [2] - Networking chip revenue nearly doubled year-over-year to $7.3 billion, with the latest Blackwell chip sales increasing 17% quarter-over-quarter, accounting for 70% of data center revenue [2] Future Guidance - Nvidia expects next quarter's revenue midpoint to be $54 billion (±2%), higher than the market expectation of $53.4 billion [2] - The CFO indicated that global AI infrastructure spending is projected to reach $3 to $4 trillion by the end of the century, suggesting that the AI wave is still in its early stages [2] Stock Buyback Program - The board approved a new $60 billion stock repurchase program with no expiration date, and the company repurchased $9.7 billion worth of stock in Q2 [3] - As of the end of the quarter, $14.7 billion remains under the previous authorization [3]