NVIDIA shares pop after bold $500B AI chip forecast
NVIDIA's stock jumped over 5.5% in pre-market trading after the company predicted it could rake in $500 billion from its AI chips.
This comes right after NVIDIA posted a massive 114% jump in yearly revenue to $130.5 billion, and earnings per share more than doubled.
Why does this matter?
AI chips are clearly in hot demand, powering everything from supercomputers to smart cars.
CEO Jensen Huang says "reasoning AI adds another scaling law," and early sales of their Blackwell supercomputers already hit billions.
Even car tech is booming—Toyota's using NVIDIA's DRIVE platform, pushing automotive revenue up 103%.
What's fueling NVIDIA's growth?
It's all about innovation: the new Blackwell architecture supports next-gen AI, while launches like GeForce RTX 50 Series graphics cards and Project DIGITS (an AI supercomputer for researchers) are helping NVIDIA expand into more markets than ever before.