- Nvidia’s Q2 revenue hit $96.22 billion, surpassing estimates and doubling year-on-year
- Data-centre revenue surged 117% to $89 billion, driving nearly 93% of Nvidia’s total sales
- Nvidia forecasted Q3 revenue of $108 billion, excluding China data-centre compute revenue
Nvidia's stronger-than-expected second-quarter results and upbeat revenue outlook sparked a broad rally across semiconductor stocks in pre-market trading on Thursday, with several chipmakers gaining as much as 5%.
SanDisk led the gains, rising 4.65% in pre-market trading to $1,569.15. Micron Technology climbed 4.02% to $976.10, while SK Hynix's US-listed shares gained 3.97% to $164.30. Intel advanced 3.09% to $90.97.
The broader semiconductor rally followed Nvidia's earnings, which reinforced expectations that spending on artificial intelligence infrastructure remains strong. Marvell Technology also gained more than 5%, while Arm shares rose over 4%.
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Nvidia reported fiscal second-quarter revenue of $96.22 billion, more than double from a year earlier and above analysts' estimate of $92.17 billion. Earnings per share came in at $2.22.
The company's data-centre business remained the key growth engine, with revenue jumping 117% year-on-year to $89 billion. That accounted for nearly 93% of Nvidia's total revenue, driven by demand from hyperscalers, enterprises and sovereign AI initiatives.
For the third quarter of fiscal 2027, Nvidia forecast revenue of $108 billion, plus or minus 2%, implying sequential growth of around 12%. The guidance excludes data-centre compute revenue from China. Nvidia expects gross margin of around 74%, reflecting some moderation as newer platforms scale up.
The results also helped Nvidia shares reverse recent weakness in pre-market trading. The stock had fallen more than 1% on Wednesday, marking its eighth decline in the last nine sessions, as investors awaited the earnings report.
UBS said it remains confident in the broader AI growth story, while noting that concerns around the sustainability of AI capital expenditure and financing arrangements could continue to cause bouts of volatility.
ALSO READ: Nvidia Q2 Earnings: What Strong AI Spending Means For Indian IT Companies
Beyond chip stocks, Salesforce surged 11.8% in pre-market trading after reporting better-than-expected quarterly revenue, while Okta jumped more than 19% on strong demand linked to agentic AI.
US stock futures also moved higher, with S&P 500 futures up 0.4% and Nasdaq 100 futures gaining 1%. Investors are also turning their attention to the Federal Reserve's annual symposium in Jackson Hole, which begins Thursday.
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