Nvidia Soars on Strong Earnings and AI-Fueled Growth
Nvidia's stock price jumped over 7% in premarket trading on Thursday after the company reported strong earnings for its second quarter of 2026. The tech giant's revenue rose to $96.2 billion, up a staggering 106% from last year and beating analyst expectations.
The company's CEO, Jensen Huang, attributed the growth to the AI boom, but also warned that the supply chain is constrained by high demand for memory chips. He stated that the projected 70% jump in sales next fiscal year is conservative due to these constraints.
Nvidia's earnings call had a ripple effect on other chip stocks, with Intel rising 3.55%, Broadcom climbing 1.8%, and AMD's shares increasing by 1.6%. Micron's stock also surged more than 4% as the company acknowledged a scarcity of memory chips.
The boost in chip stocks lifted the tech-heavy Nasdaq Futures index, which rose 1.10% to 29,622.25 points, while the S&P 500 futures climbed around 0.5% to 7,727.00 points.