Nvidia Posts 65% Revenue Growth to $215.9B, Warns Valuation Risks
Nvidia reported fiscal 2026 revenue of $215.9 billion, up 65% year-over-year, and free cash flow of $96.6 billion driven by data-center demand. CEO Jensen Huang said agentic AI could sustain GPU spending but warned 41x current and 24x forward earnings multiples and cyclical chip-market risks.
1. Fiscal 2026 Performance
Nvidia achieved $215.9 billion in revenue for fiscal 2026, marking a 65% increase from the prior year, and generated $96.6 billion in free cash flow. Data-center deployments of AI workloads were the primary driver of this record growth.
2. Agentic AI Outlook
CEO Jensen Huang highlighted the emerging agentic AI era, suggesting it will underpin sustained enterprise investments in specialized GPUs. He emphasized long-term demand from large-scale AI applications across cloud and on-premise environments.
3. Valuation and Market Risks
Despite robust results, Nvidia trades at 41x trailing and 24x forward earnings multiples, reflecting lofty expectations for continued expansion. Management cautioned that chip-industry cyclicality and intensifying competition could pressure margins and future growth.