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NEWS
Nvidia Day Results: Nobody Wins

Only Nvidia options sellers are celebrating tonight, with those hoping for fireworks following its earnings were disappointed. Instead, the action was in other major stocks like Target, Snowflake, and MicroStrategy. While there may be a delayed reaction to the results, chip stocks are stuck in limbo without leadership. 👀

Today's issue covers Nvidia’s failure to impress, Target’s continued turbulence, and more noteworthy pops and drops. 📰

Here’s the S&P 500 heatmap. 6 of 11 sectors closed green, with healthcare (+1.18%) leading and consumer staples (-0.51%) lagging.

And here are the closing prices: 

Most bullish/bearish symbols on Stocktwits at the close: 📈 $FBRX, $QSI, $SLXN, $DUOT, $PANW 📉 $JACK, $WSM, $LCTX, $ELF, $SBLK*

*If you’re a business and want to access this data via our API, email us.

STOCKS
Your “Nvidia Day” Recap 👀 

We kicked off the day with our “Daily Rip Live” broadcast, as hosts Shay Boloor and Jordan Lee welcomed a special guest to discuss all things Nvidia, crypto’s run, Target’s lackluster results, and Snowflake and Palo Alto Network earnings previews.

Semiconductor stocks traded down marginally throughout the day alongside the broader market, with Stocktwits sentiment staying in ‘extremely bullish’ territory ahead of Nvidia’s results, with poll participants expecting a beat and new highs.🐂 

Revenues of $35.08 billion topped the $33.16 billion and represented 94% YoY growth (down from 122%, 262%, and 265% in previous quarters). Data center revenue surged 112% YoY to $28.82 billion, with about $3.1 billion related to networking parts sales rather than AI chips. 📈 

For the current quarter, adjusted earnings of $0.81 also beat the $0.75 expected, and gross margins of 73.5% were slightly above estimates. Its other segments, like gaming, automotive, and professional visualization, are also faring well. 👍️ 

Every major customer is racing to be first to market, and Nvidia has already shipped about 13,000 samples of its next-gen Blackwell chips.

Management expects the volume of shipments to ramp up significantly next year but warned that demand will exceed supply for several quarters in fiscal 2026. Additionally, gross margins will be in the low 70% range during the initial ramp-up and return to the mid-70% range as it reaches full production. 🏭️ 

During the conference call, Jensen Huang shared this on AI market potential: "The way to think through that is I believe that will be no digestion until we modernize a trillion dollars worth of data centers.” On the inference market, he said, "Our hopes and dreams is that someday the world does a ton of inference. And that's when AI has really succeeded. It's when every single company is doing inference inside their companies."

For the coming quarter, Nvidia expects $37.5 billion in revenues, ±2%, implying a YoY growth of about 70%. Despite the overall deceleration, Nvidia said its AI enterprise revenue is set to grow at over 200% this year. 📊 

Overall, the results were good but not good enough to surpass sky-high expectations. Shares are down roughly 1% after the bell, though Stocktwits community sentiment remains in ‘extremely bullish’ territory. We’ll see how the stock digests today’s news and will update you on any major changes. 🚨 

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