Overview
- Nvidia, which on Wednesday May 20 forecast second‑quarter revenue of $91 billion plus or minus 2% and announced an $80 billion share repurchase program, pushed results above Wall Street expectations.
- Analysts reacted by lifting price targets and flagging renewed confidence that AI-driven data‑center spending will stay strong, with some firms citing the guidance as evidence the AI 'supercycle' remains intact.
- Regulatory and geopolitical uncertainty over China access still matters because limited reports of H200 approvals do not guarantee broader sales, leaving a high‑variance revenue path for that market.
- Longer‑term risks include rivals and hyperscalers building their own chips and a product transition from Blackwell to Rubin that could shift customer timing for purchases and temporarily alter demand patterns.
- The buyback signals management confidence and may quiet valuation concerns in the near term, but supply constraints at foundries, rising component costs, and competitive moves keep the outlook uncertain for investors and customers.