While the AI boom boosted revenue growth, Nvidia once again exceeded expectations, but shares fell

The quarterly results of artificial intelligence chip maker Nvidia’ have once again exceeded Wall Street’'s expectations, driven by strong demand for high-end AI chips.

The company said on Wednesday that in the February-April period, 58.32 billion $ (€53.7 billion) or 2.39 per share $ He said he reported net income. This figure is 18.78 billion in the same period of the previous year. $ (€17.3 billion) or 76 cents per share. Except for one-time items, Nvidia earned $1.87 per share.

It comes in %It rose 85 percent from $44.01 billion (40.5 billion euros) to $81.62 billion (75.1 billion euros).

On average, analysts expected earnings of $1.75 per share and revenues of $78.91 billion (72.6 billion euros), according to a survey by FactSet. Nvidia’'s results have surpassed analyst estimates since high-end chips emerged as key components of AI systems three years ago.

CEO Jensen Huang said in a statement, “The construction of artificial intelligence factories, the largest infrastructure expansion in human history, is accelerating at an extraordinary pace.

High profits and revenue, as well as Nvidia’'s operating expenses %It rose 49 percent to $7.75 billion (€7.1 billion).

As governments and other industries become a greater source of demand for AI chips, the company wants to diversify its customer base by aiming to rely less on big data center operators.

This occurs as competition intensifies and large customers develop in-house alternatives.

For the current quarter, Nvidia forecasts revenues of approximately $91 billion (83.7 billion euros), while analysts expect $87.29 billion (80.3 billion euros).

Despite solid results and overall outlook, many investors remain cautious about a possible slowdown after three years of growth, with Nvidia’'s market capitalization rising from $400 billion (€368 billion) at the end of 2022 to $5.4 trillion (€5 trillion) as of Wednesday.

Shares of the Santa Clara, California-based company declined slightly to $222.12 in after-hours trading after closing at $223.47 in the regular session.

David Wagner, stock president and portfolio manager at Aptus Capital Advisors, “ (Nvidia) has repeatedly eliminated expectations and consensus; It provided exactly what people wanted, especially when it comes to data centers, ” said.

But the market isn't always moving as you'd expect after a strong report like this.“

The company also announced plans to return the money to shareholders, allow an $80 billion (73.6 billion euros) share buyback program, and increase its quarterly dividend from 1 cent to 25 cents per share.

Nvidia Germany outperformed ’: How do the market values of tech giants compare to the best economies?

The economic size of technology giants and multinational companies has grown rapidly in recent years. Nvidia reached a market cap of $5.7 trillion in mid-May. The company now surpasses the entire economy of ’, Germany, the world's third-largest economy and Europe's largest economy, at $5.45 trillion in gross domestic product (GDP).

So how does the market capitalization of tech giants and multinational corporations compare to the world's largest economies? Where does Europe stand?

Nvidia, the US-based semiconductor company whose chips power everything from video games to artificial intelligence systems, is the world's most valuable company. October 2025After ’te became the first company with a market capitalization exceeding $5 trillion (4.38 trillion euros), its value reached $5.7 trillion (4.89 trillion euros) in mid-May 2026.

In terms of economic size, Japan and Britain already outperform ’, while Germany now outperforms ’'s projected GDP ’ for 2026, according to IMF’. Market cap data from CompaniesMarketCap’ as of May 14, 2026.

The IMF estimates that ’'s 2026 GDP will be $5.45 trillion (4.67 trillion euros). The U.S. remains the world's largest economy with $32.38 trillion (27.75 trillion euros), followed by China with $20.58 trillion (17.87 trillion euros).

Since Germany is ’'s largest economy, the market capitalization of Nvidia’ exceeds this, which means that the company is now larger than all European economies; These include Britain $4.26 trillion (3.65 trillion euros), France $3.6 trillion (3.08 trillion euros), Italy $2.74 trillion (2.35 trillion euros), and Spain $2.09 trillion (1.79 trillion euros).

Nvidia exceeds the total GDP ’ of 19 EU countries

Alphabet (€4.12 trillion) and Apple (€3.75 trillion) are also larger than all European economies except Germany. France (3.08 trillion euros) outperforms Microsoft’ (2.61 trillion euros) and Amazon’ (2.46 trillion euros) in economic size. But both companies still exceed ’'s GDP (€2.35 trillion) in Italy, the continent's fourth-largest economy.

The total GDP ’ of the 19 smallest EU economies totals $5.02 trillion (€4.3 trillion), which is still below Nvidia’'s $5.7 trillion (€4.88 trillion) market cap.

Nvidia CEO Jensen Huang attended Donald Trump’'s high-profile visit to China’ this week. In March, Huang said that increasing demand for artificial intelligence could boost Nvidia’'s sales to $1 trillion in two years.

Top 5 U.S. companies and Europe’'s top five economies

The five largest companies in ’ (Nvidia, Alphabet, Apple, Microsoft and Amazon) have a total market capitalization of $20.81 trillion (17.84 trillion euros). This exceeds the total GDP ’ of Europe’'s five largest economies (Germany, England, France, Italy and Spain); That's $18.14 trillion ($15.55 trillion).

No European ​​ company can come close to US tech giants

Dutch chip maker ASML ranked 21’th with a market capitalization of $610.69 billion (€523.66 billion), making it the European ​​ company at the top of the list. Europe’ doesn't have a company on a scale comparable to the US tech giants.

Swiss pharmaceutical giant Roche’ has a market capitalization of $335.1 billion (€287.44 billion), while UK-based AstraZeneca has a market capitalization of $286.84 billion (€246 billion).

Market capitalization and GDP measure different things. GDP reflects the total value of goods and services produced by an economy within a year, while its market value represents the market value of a company's equity and reflects investors' expectations about future earnings and growth prospects.

Yet the comparison offers a striking example of the scale these companies have reached.

Nvidia Loses Billions of Dollars in Value Due to Investigations

Nvidia shares seen as a pioneer in the field of artificial intelligence (AI) on Tuesday as investors continue to move away from AI shares lling more than 9 ⁇ , it experienced the largest single-day decline in its history.

Shares of the company, in addition to extended trading hours %It lost 2 more values and lost about $300 billion (€272 billion) of market capitalization in total. This comes after it was announced that the company had received a subpoena from the U.S. Department of Justice (DOJ) as part of an anti-monopoly investigation.

Concerns about monopoly

According to a Bloomberg report released Tuesday after U.S. markets closed, the U.S. Department of Justice has subpoenaed Nvidia and other companies to look for evidence of anti-monopoly violations.

DOJ officials believe that the chip maker's dominance in the global AI chip market leaves customers with limited options, making it difficult for them to switch to other market players only if they don't use Nvidia ⁇ 's products.

The investigation shows that the anti-monopoly investigation has taken a step further as part of the U.S. investigation into Microsoft and Nvidia in June.

These tech giants have been the biggest beneficiaries of the AI boom since 2023, following Microsoft's launch of its AI-powered chatbot ChatGPT ⁇ in February last year. Nvidia is a leader in the supply of Graphics Processing Units (GPU ⁇ s), which are especially required for hyperscalers that support Large Language Models (LLM) training.

Despite recent declines, Nvidia shares this year %It has gained 146 valuations, making the company one of the top performers among global tech stocks.

However, the company announced disappointing quarterly earnings last week, indicating that Nvidia's explosive growth period, which began in the second quarter of fiscal year 2024, could slow. After this announcement, the shares %7 was down.

Tuesday's sales wave shows that investors continue to divest AI stocks in the face of worsening economic signs, reflecting a broader trend in global markets.

Risk avoidance trend prevails in global markets

The market crash led by Nvidia has also been linked to a worsening of concerns about the overall macroeconomic picture.

Risk avoidance dominated global markets on Tuesday; While major European indices closed the day negatively, U.S. indices fell as the month began.

Pan-European Stoxx 600 index %1 down, S&P 500 %2 declined and technology-heavy Nasdaq %It has lost more than 3 cents. There has been a significant decline, especially in semiconductor stocks; Nvidia ⁇ 's collapse spread to global markets and European chip equipment manufacturer ASML %He suffered more than 4 casualties.

U.S. economic data is disappointing.

On Tuesday morning, the U.S. released disappointing economic data revealing its contracting manufacturing activities for the fourth consecutive month in August, rekindling fears of a recession in the world's largest economy.

Amid worldwide turmoil with the Bank of Japan's rate hike and rising economic concerns, Wall Street experienced its worst single-day sale since early August.

Investors are becoming increasingly sensitive to economic indicators after early August sales; The Federal Reserve (Fed) is expected to start lowering interest rates this month.

A possible deeper interest rate cut could signal rapidly deteriorating economic conditions. Historically, there has always been an economic recession during the Fed ⁇ in rate reduction cycle.

Most other major central banks have already begun interest rate cuts in the face of slowing economic growth and falling inflation.

The European Central Bank is also expected to make a decision on interest rates this month, and market participants widely expect the bank to make its second 25 basis points interest rate cut this year.