Nvda posts record $68.1 billion quarter but stock stalls after $6 billion guidance beat
nvda reported a record fourth-quarter revenue of $68. 1 billion for the quarter ended January 25, 2026, even as the stock fell after the company guided the current quarter roughly $6 billion above consensus. The results and the large guidance beat crystallized investor debate over whether higher margins and continued AI demand are already priced into the shares.
NVIDIA’s record quarter and fiscal-year totals
NVIDIA said fourth-quarter revenue reached $68. 1 billion, up 20% from the prior quarter and up 73% from a year earlier. For fiscal 2026, revenue totaled $215. 9 billion, up 65% from the prior year. For the quarter, GAAP and non-GAAP gross margins were 75. 0% and 75. 2%, and for the full fiscal year GAAP and non-GAAP gross margins were 71. 1% and 71. 3%.
GAAP and non-GAAP earnings per diluted share for the quarter were $1. 76 and $1. 62, respectively. For fiscal 2026, the company reported GAAP and non-GAAP earnings per diluted share of $4. 90 and $4. 77.
Nvda’s guidance beat and the market reaction
The company guided the current quarter roughly $6 billion above consensus estimates, a figure commentators noted is comparable to some companies’ full-year revenues. Despite the guidance beat, the stock was down in Thursday morning trading as market participants parsed whether mid-70s gross margins and the company’s fundamentals were already priced into the shares.
Analysts and managers square off on Opening Bid
On Opening Bid, Visible Alpha’s head of TMT research Melissa Otto and Laffer Tengler Investments CEO and CIO Nancy Tengler debated the stock movement with host Brian Sozzi. Otto pointed to Visible Alpha consensus data and noted a Q1 guide roughly in the 77–79 billion range versus a consensus near 72. 4 billion, saying the mid-70s gross-margin profile is visible through the year and asking whether that leaves room for new upside.
Tengler pushed back, casting the moment as similar to past steep selloffs that created buying opportunities. She cited 60-plus percent earnings growth and valuation metrics—trading at under 25 times next year’s earnings in her remarks—and said sovereign customers had posted $30 billion in sovereign revenues, a three‑fold year-over-year figure, arguing that hyper-scalers lack capacity and that continued buildout of AI compute should support revenue growth.
Shareholder returns, dividend and repurchase details
During fiscal 2026, NVIDIA returned $41. 1 billion to shareholders through share repurchases and cash dividends. As of the end of the fourth quarter, the company had $58. 5 billion remaining under its share repurchase authorization. NVIDIA said it will pay a quarterly cash dividend of $0. 01 per share on April 1, 2026, to shareholders of record on March 11, 2026.
Accounting changes, tax outlook and the investor call
Beginning in the first quarter of fiscal 2027, NVIDIA will include stock-based compensation expense in its non-GAAP financial measures, calling stock-based compensation a foundational component of its pay program to attract and retain talent. The company also provided a fiscal 2027 tax-rate outlook, expecting GAAP and non-GAAP tax rates between 17. 0% and 19. 0% for the full year, excluding discrete items and material tax-environment changes.
NVIDIA said it uses non-GAAP measures to supplement GAAP results and showed reconciliations that adjust GAAP figures to exclude stock-based compensation expense and acquisition-related and other costs. CFO commentary by Colette Kress is available on NVIDIA’s investor relations site. The company will hold a conference call today at 2 p. m. Pacific time (5 p. m. Eastern time) and will offer a listen-only webcast on its investor site; the webcast will be recorded and available for replay until the company’s next post-quarter conference call.
The next confirmed items on NVIDIA’s calendar are the 5 p. m. ET conference call today and the scheduled dividend payment on April 1, 2026, for holders of record on March 11, 2026.
