Nvidia has delivered blockbuster top-line growth over the past five fiscal years, with revenues up 53% in 2021, 61% in 2022, flat in 2023 as AI investment paused, then surging 126% in 2024 and 114% in 2025. In the first nine months of fiscal 2026, the company reported a further 62% increase in revenues and guided for a 65% jump in the fiscal fourth quarter. This sustained acceleration underscores Nvidia’s position as the cornerstone of generative AI infrastructure and sets the stage for continued market outperformance despite broader chip-sector headwinds.

In late 2025, Nvidia agreed to acquire AI-chip specialist Groq for $20 billion in cash and stock, bolstering its position in ultra-low-latency inference processors. The deal brings onboard key Groq executives and integrates Groq’s Tensor Streaming Processor architecture into Nvidia’s AI roadmap. In a post-deal analysis using The Quantamental Investor’s proprietary valuation model, Nvidia’s risk/reward profile was upgraded to a modest Buy, reflecting the strategic value of expanded product breadth alongside potential operational synergies that could preserve gross margins above 70%.

Institutional appetite for Nvidia remains robust, with IFM Investors holding 4.79 million shares—roughly 7.5% of its portfolio—after trimming just 0.1% in Q3. Overall, 65% of Nvidia shares are owned by institutions. On Wall Street, 51 of 54 covering analysts rate the stock a Buy or Strong Buy, with average price targets implying upside of 26%–60% over the next 12 months. UBS, Cantor Fitzgerald and DA Davidson have all reaffirmed Buy ratings following Nvidia’s Q4 guidance, citing resumed China export approvals and next-generation chip architecture as near-term catalysts.