---
title: 'Nvidia Earnings SHOCKER'
source: 'https://youtube.com/watch?v=h74j-rwfYhA'
video_id: 'h74j-rwfYhA'
date: 2026-06-28
duration_sec: 1510
---

# Nvidia Earnings SHOCKER

> Source: [Nvidia Earnings SHOCKER](https://youtube.com/watch?v=h74j-rwfYhA)

## Summary

Nvidia's Q1 earnings reveal a significant beat across key metrics, including revenue of $81.62 billion (beating the $79 billion forecast) and a 71.4% net income margin, nearly double the previous year. Despite strong performance, the stock initially dropped by 2-3%, consistent with historical profit-taking patterns. Key highlights include an $80 billion share buyback, dividend increase, raised guidance, and no slowdown in hyperscaler spending.

### Key Points

- **Earnings Beat** [1:27] — Q1 revenue beat by $2.4B, coming in at $81.62B vs. forecast $79B.
- **Q2 Revenue Guidance** [2:09] — Q2 revenue forecast was $91B vs. expected $87B, representing a ~4% beat.
- **Data Center Revenue** [2:18] — Data center revenue for Q1 was $75.2B, a massive portion of total revenue.
- **Share Buyback and Dividend** [3:23] — Authorized $80B share buyback and increased quarterly dividend to $0.25 from $0.01.
- **Net Income Margin** [6:36] — Net income margin reached 71.4%, up from 42.6% year-over-year, with net income tripling (3.2x).
- **Hyperscaler Growth** [10:02] — Hyperscaler revenue growing faster year-over-year (74%) than non-hyperscale, indicating strong enterprise demand.
- **Nvidia Dynamo Software** [15:01] — Open-source software that boosts generative AI inference on Blackwell GPUs by up to 7x.
- **Anthropic Profitability Update** [23:07] — Anthropic expects 130% revenue surge to $10.9B in June quarter and first operating profit of $559M, positive for Nvidia demand.

### Conclusion

Nvidia delivered stellar earnings with significant beats and guidance raises, yet the stock fell initially due to profit-taking. However, strong fundamentals, increasing spending from hyperscalers, and upcoming IPOs (e.g., SpaceX, OpenAI) suggest sustained demand and potential upward momentum.

## Transcript

Well, the markets are really sweating
this one. I certainly am because it is
the pinnacle of earning season.
It's getting hot and heavy around here.
But that's all right because we've got
Nvidia on deck out within the next 1
minute. We are looking for uh revenue.
Current expectations are expected to
come in at $79 billion.
Nvidia has beat across the board eight
out of the last eight earnings. So
basically for the last two years
straight, we've got beats on revenue, on
EPS adjusted, on EPS gap, on net income,
on operating profit, on EBIDA,
everything. We're looking for a move of
about 5 and a half% today. So we'll see.
We know this market just loves hardware
right now. Nvidia on a forward PE basis
is actually pretty dang cheap. It's got
somewhere around 50 to 90% upside in it.
Will we finally break through that 300
threshold for Nvidia? Now, obviously, we
got really big IPOs coming out. Uh,
OpenAI, SpaceX, Anthropic, all expecting
to throw more money into Nvidia chips.
So let's see what happens with earnings.
Earnings are due within the next like 5
to 10 seconds here. So here we go.
Looking for 79 and we got uh okay Q1
revenue forecast beats margin at 75%
revenue comes in at 81.62
that is more than a $2.4
billion beat on Q1 revenue. And as usual
the initial reaction is slightly down.
classic Nvidia that so like they
forecast one number, Wall Street's like,
"No, you guys are going to come in way
higher." Nvidia beats their own forecast
by $2.4 billion. Uh you've got uh
forecast margins still stable at a
midpoint of 7 uh5% even. Q2 revenue is
expected to come in at about 91 billion.
The expectation was 87. That's another
beat right here about 4ish%. data center
revenue, of course, Q1, $75.2
billion of data center revenue, $75.2
billion in one freaking quarter. Holy
smokes, that forecast, $91 billion
expected in Q2. Honestly, I think
Jensen's going to come out and say,
"Boys and girls, all these IPOs, they're
going to raise $200 billion. Guess how
much money they're going to spend on
Nvidia chip step, bro?
all of it.
Uh this morning on the course member
live stream, by the way, we've got the
Memorial Day sale going on. We uh we
opened on the market at like I think it
was like 7:06
or something like that. Somewhere around
there. Yeah, 7:06. And we had a call
that we were going to get to 7:14 today.
That was the target. We got to 713.
713 and 15 cents on the cues, which is
pretty impressive. So, if you want to be
part of those alpha membership calls,
make sure you're part of it every
morning in the course member liveream.
But for now, look at this. Nvidia
literally falling 2% after authorizing
an $80 billion share buyback and
boosting the quarterly dividend to $25
up from one freaking penny. So, we got
buybacks of $80 billion. We got
dividends of 25 cents a share.
We got beats on revenue. We got beats on
forecast. We got amazing margin. We got
a raise of guidance. And step bros, the
stock is stuck. Stock now down 3%
because that makes all the sense in the
world. I told you when I was going to go
live, I'm sweating it. And I'm literally
sweating it cuz it's like it makes no
damn sense. But the good news is we kind
of saw that coming this morning. We
talked about it. We made a prep video
for Nvidia. Uh we've talked about how
Nvidia does not have the best reputation
for going straight up on earnings. Uh
this morning we were looking at a
breakdown chart showcasing how confusing
Nvidia can be after uh you know earnings
data comes out. And usually what we find
is anywhere between, let me see if I can
grab, actually I think I have the
picture right here because I'll just
pull it up. We pretty much have like a
coin toss as to what happens to the S&P
500 after Nvidia earnings. It is, take a
look at this. This is what we talked
about this morning. And we could see the
S&P 500 performance in the 1 2 3 4 5
days or 1 month after Nvidia earnings
really mixed bag. So it's not unusual to
see it. It's typically profit taking,
but it's honestly Like, let's
just be real. It's Nvidia is
making so much damn money. And the
market doesn't care. It seems like the
market would rather invest in a stupid
stock like Cerebrus, which is rigging
their earnings to make it seem like
they're profitable so they can pump and
dump and cash out insiders and retail
could be left holding the damn bag.
Well, Nvidia over here is making a
fortune and the stock goes down. That's
just the nature of Nvidia, though.
That's the nature of the short-term
market. Now, let's get into We've got
CFO commentary. So, we're going to
download uh and take a peek at some of
that commentary, and we'll go through a
little bit more color here. Still
sweating. There's a reason we're
sweating because it's Nvidia earnings.
Obviously, there could be no other
reason why we would be sweating. The
stock would be all across the board. And
of course it goes down, but we'll see.
Jensen is a really good salesperson.
He'll probably be able to pump it up.
And sometimes you get profit taking like
just a few seconds after the bell, like
the earnings come out, but everything
here is really good. I do have a note
here that indicates no shipments of
Hopper, the H200 yet to China in Q1.
Don't anticipate that. You can actually
see their margin here uh has uh let's
take a look here. We've got Q1 fiscal
year 27. This is what we're in now. We
can see that 75ish% margin there. Very,
very, very impressive. Holy smokes,
dude. Look at that income margin. I
mean, how impressive is that? So, if I
divide this 58321
divided by 81615,
I got 71 Oops, I'm using the wrong
keyboard. 71.4%.
So literally every time you go buy or
whatever buys an uh uh you know buys a
GPU from Nvidia, 71.4
is not going to their gross margin like
at Microsoft. No, it's literally going
to the bottom freaking line. That is
such a high margin business. This is a
dream business. Damn, bro. operating
income at 53 uh.5.
So I'm curious that means we probably
have some interest income in between
here. Uh net prob higher due to
interest. You know we don't have a full
statement here right now. The the actual
10 Q the quarterly report won't come out
for another few days. So we just sort of
get like highlights right. Uh really
really really impressive margins though.
And then if we compare to last quarter,
net margin 42960.
Oh, that could have also been boosted by
their stakes in other companies like
maybe their open AI investments or
whatever, right? They might mark some of
those to market. Uh but over here, we
actually only had a 63% margin. And if I
go to last year at this time, 18775 /
44062,
I have a 42.6% 6% margin. So these
people are making hand over fist. This
is absolutely insane. They have almost
doubled their net income percentage. And
they basically almost actually I think
they've tripled net income. 58 divided
by 18. Yeah, bro. 3.2x on net income.
Holy moly. Holy moly. 3.2x on net income
compared to last year. and margin nearly
double. Bro, what's not to love? And an
$80 billion buyback. 80 bill buyback. I
got dividends of 25 cents a share. Uh,
you know, I got a forecast that's being
raised. This is so good. The stock is
cheap. Raised forecast. I think the
problem is for people is just big,
right? It's a uh a cheap and big stock.
Uh now in fairness it's only cheap based
on forward expectations but there's no
indication of a slowdown here. No
indication of slowdown. Uh I really
think the IPOs are actually going to
boost this company even more. Uh
Anthropic
uh OpenAI SpaceX will prop boost even
more uh in terms of spending for this
sort of uh you know this company here
Nvidia. Uh really really impressive.
Let's go take a peek at uh here we go.
Hypers scale. The hyperscalers
represented about half of their income.
Uh no slowdown over here. You can see
that's a pickup from the last quarter as
well. I've got AI clouds industrial and
enterprise. So other enterprise doing
fine as well. Enterprise is also growing
fantastically. I mean they did the
percentages for us here. I got over a
double on hypers scale 74. So, Hypers
scale is actually growing faster
year-over-year. That's insane. Hypers
scale growing faster year-over-year
um than nonhypers scale. So, the biggest
are spending even more, which makes
sense.
Uh let's see here.
Okay, let's see. Revenue for the first
quarter up 85% 20. I mean, these are
just insane numbers. Uh look at this.
Now we're talking about the ramp of the
Blackwell 300 demand for Infinity Ed.
You know, House hack has some black
wells. Uh I cannot wait to release our
real estate AI. Like we're still
targeting the end of June, which is what
we've been promising for, you know, well
since we announced the product at the
end of last year. Uh we are so excited.
Uh but I mean, hey, Blackwell has helped
us has helped contribute to us being
able to generate real products that
people can use. uh and and we are loaded
up with CPU compute right now as well
and those are all things that are
helping us generate actual tools for
people. Uh so we're really excited about
that. But I mean it makes sense and
we're we're just a small startup and
we're seeing it right. So these larger
companies are doing very well here as
well. No shipments of products to China.
That's not a surprise. The Chinese
aren't allowing this right now. This is
a uh you know the Chinese Chinese
company. So, uh, White House authorized
China, uh, killed it. Okay. So, then
I've got, let's see, Vera Rubin on track
for second half of the year. Okay. Vera
Rubin, second half of year on track.
I've got, let's see here.
Edge computing revenue for the first
quarter up 6.429%. I want to see what's
going on in automotive, honestly.
outlook. Dude, look at that. 90. Dude,
they're gonna guide a hundred billion
before we know it. This is absolutely
crazy. Somebody here writes, "S1 for
SpaceX arrives Wednesday evening." Oh,
wow. Okay. Well, we will definitely
cover that. Somebody in the chat says,
"Nvidia stock has recovered." That's
great. I mean, like, these earnings are
so good. It shouldn't be bad. Like, this
should not go down. These earnings, like
these are dream earnings. How much money
this company makes. absolute dream
earnings and the stock initial reaction
is down. It's That's what I'm
saying. These earnings are great. Uh
beating I mean you couldn't ask for
better so far. Okay, so we got CFO
commentary. Uh okay, here we go. The
press release is finally out. They're
really like slow sometimes with actually
like updating their website, which is
surprising cuz like they're computing
company. It's like really you guys
having trouble like getting the form on
the website? You guys having trouble
getting it up? You know, like you need
to get some pee pee up in here. I mean,
they are the definition of pee pee.
Okay. They shouldn't have any problems.
Uh, okay. So, uh, I want to see
automotive. Honestly, auto
auto. Auto auto.
Really? They're not going to break down
any automotive revenues? That's a
bummer. So, I'll have to wait for the 10
Q to get automotive revenues. A little
bit of a bummer. Uh, let's see. their
R&D here. Whoa, look at their R&D
actually almost doubled over here. I
mean, it's not really noticeable
because, you know, they spend 30% more
selling their products and their revenue
is up a double. Like, who cares? Their
R&D is up a little bit. Big deal. So,
like their revenue is just destroying.
I actually think that once the whole
chip bubble pops, which it will
eventually, we don't know yet, you know,
when there there is no uh indication yet
of a rollover of hyperscaler or
artificial intelligence spend. So, we
don't really know when that rollover is
going to be yet, but when it comes,
watch, Nvidia is going to end up being
an FSD SAS play, and people are going to
be like, "Oh my gosh, you know, I
thought it was going to be Tesla." And
watch, it'll end up being Nvidia. It's
pretty remark pretty remarkable. Uh,
okay. So, let's just look at a little
bit of their commentary here.
Uh, okay. Repurchase authorization. We
talked about $80 billion. That's great.
AI purpose build data centers, data
factories, token factories. Yeah. Yeah.
Yeah. We already know about all the
marketing. We know data center. Okay.
What do we got over here? Announced Vera
Rubin including the Vera CPU. People
underestimate how valuable the CPU
business is for Nvidia. Like this is so
brilliant. They're so freaking smart.
Even their acquisition of Gro Gro Grock,
whatever the hell you want to call it,
the GR OQ, not to be confused with
Elon's Gro.
All right. Uh, then you got enter
production of Nvidia Dynamo, open source
software that boosts generative AI and
agentic interface on Blackwell GPUs by
up to 7x.
Okay. Uh oh. in inference not uh
interface right okay inference so I
always wonder though you know at some
point their chips are going to become so
good that we're not going to need as
many tokens anymore right that's the
turning point for
when they almost kill themselves uh and
that'll be very painful that's probably
why Nvidia is not like a $300 or $400
stock yet because right now it does
justify over $300 easy it'd be fairly
valued over $300 $, but people are
worried as soon as there's a little
inkling that the money spent stops it.
Every comp is going to be negative,
right? And I think that's just what
people are so worried about, but there's
no sign of it yet. Expanded Google Cloud
including Vera Rubin, of course, Google
Gemini is is very good, very good. Uh,
Nvidia Blackwell, Blackwell Ultra GPU is
fine. Here we go. Marll, shout out to
Marll expanded AI ecosystem. So, I
actually think Marll is undervalued as
well. The difference between Marll and
Nvidia is Nvidia is already fat fat. OH
MY GOSH, DUDE. It bounced at my damn
line. Are you kidding, dude? I I swear
every day I feel like I make a video and
I'm like, "Guys, guys, it bounced at my
line." And I I feel like people watch my
videos and they're like, "Oh, sure it
did, Kevin. Sure, sure. You just drew
the line there after the fact." So, like
I feel like I have to do the occasional
live stream to talk about the li like
the show. No, the lines are real. You
got to break through 22706
here, you know? It's and and there it's
technical analysis, right? That's what
what we do. Uh and we do that every day
in the course member live streams. We do
um it's it's very I think diverse what
we do. Technical analysis, momentum
analysis. There's a momentum stock we
were looking at this morning that was up
like 15%. I'm not sure if it closed up
15%, but it was up like 15%. Honestly, I
think it's going to keep going. We'll
talk more about that one tomorrow. Uh
we've got um short-term trades,
medium-term trades, long-term trades.
Long-term trades are for people with
really big balls, and short and
medium-term trades are for people who
want, you know, to see some dollars a
little sooner. Uh anyway, so uh Marll is
actually a combination of a medium-term
trade and a long-term trade. Uh Marll
has been pretty good and uh they've
they've really done fantastically. Uh of
course if you want more of that
analysis, remember just join us
Kevin.com. We got some cool things
coming out for course members uh very
soon. Me Kevin app is expanding and uh
we'll be raising the price again on the
membership on uh I think Tuesday. So the
day after Memorial Day since the market
will be closed on Monday. We're expiring
the coupon code on Tuesday. So you got
six days to think about it. If you have
questions, you could email us at
staff@meke.com. Let's keep going here.
So, we got a server edition GPU. This is
another Blackwell uh chip. They've got
that's fine. Anything you can go sell to
any various different level. You know,
you got smaller startups who want
Blackwells and then you've got
hyperscalers who want black black wells.
Nvidia has so much of TSMC unlock that
they just need to keep kind of making
little chopped up versions of Blackwell
and they could just keep printing money
for now. Uh we got um okay some talk
about rendering here that's fine.
Omniverse autonomous driving at scale.
Uh Hyundai Motor and Kia next generation
autonomous driving built on Hyperion
platform along with the expanded
partnership with Uber. I honestly think
like people so underpric this. This is
so valuable. Uh you know it's going to
be a like even Wall Street is still
underpricing it. I saw a chart this
morning on what they think revenue
growth is going to be for autonomous uh
driving for Nvidia. I actually have it
right here. And uh I mean in my opinion
this is this is a stupid forecast. Like
I think it's going to be way higher than
this. They actually think QCOM can get
more automotive revenue than Nvidia. You
know QCOM expanding from like 1.3
billion to 3.3ish somewhere around
there. Uh so I mean that's pretty
impressive. uh in Nvidia only going from
you know about what um actually no QCOM
going from lower QCOM going from like
600 ah you got to figure you you look at
the chart yourself and figure it out
yourself the point is they expect QCOM
to move faster I can't think about this
live because I want to focus on
continuing to get through this uh BYD
Nissan are building level four ready
vehicles on the Hyperion platform this
is so smart and the Chinese are so good
at manufacturing. This is so smart.
CUDA. Oh, oh, oh, oh. This is huge for
um this 6G thing. This like Marll is all
over this, by the way. Jensen, Marll,
um 6G, even 5G base stations. Anytime
you hear base stations, you want to
think about this. Basically, think about
it this way. You know how Apple's like,
"Oh, we want you to do ondevice AI,
right? Yeah, that's cool. But what what
we really want is really fast ondevice
AI that can also coordinate with your
company's servers or base stations or
you know basically over a five or 6G
network. Uh and and Marll's got uh you
know there's like a call option in Marll
for that technology. It's pretty
exciting. Uh not to be confused with
Marvel superheroes. You know, I I say
when Max hasn't had enough food that he
turns into the Hulk. And so when he
starts getting fussy, I tell him, "Hey,
you need to eat something. You're
turning green, buddy." And he actually
laughs over it. Uh but it's true. He
turns into a little Hulk. It's just
like, you know, the gamma radiation is
taking him over. Accounts receivable
pretty stable actually compared to last
year. A lot of people dunked uh on on uh
Nvidia last year because of this massive
boost in accounts receivable. This is
really stabilized here. So, pretty
consistent. Uh, we've got uh really cash
and marketables here of about $50
billion sitting around plus oh, equity
securities on that as well. So, I got
$80 billion plus accounts receivable. I
got $120 billion. I got bills to pay of
about 44. Big deal, dude. I have enough.
I mean, my accounts receivable could pay
that and I don't even have to touch my
cash. So, they're totally fine on bills
to pay. They have virtually no long-term
debt. I mean, I've got lease
liabilities. I don't even usually count
those. I've got 9 plus 7 over here. I
got about 16 long-term. These people
fart $16 billion.
Uh I know that sounds just like crazy,
but this is this is a a big AI winner.
Uh and it blows my mind that, you know,
a company like this could actually be
down on such a good beat. But it's not
surprising. A because we have a line and
you know even the last time we broke out
of 198 we had to retrace to it. So the
line's important but I wouldn't be
surprised that you know as we get closer
to the SpaceX IPO we could break through
this line and then we'll push through
255 and and then 295 will be the big
test. Uh because that's when you get to
breaking through 300, right? Uh but uh
it'll take some time but I think it'll
happen between now and the IPOs. SpaceX,
OpenAI, Claude, they'll make it happen
this year. The problem is those IPOs
could end up marking the top of the
market. Uh, you know, once once all of
those guys go down and they've drained
everybody of funds, you're going to have
big problems. And so, a canary that I'm
watching in the coal mine is Cerebrus.
We've talked about that quite a bit. And
also Coreweave. You know, Corweave's
been trying to get back, but you could
see, look at this. I I kid you not,
rejected at the line. Again, nobody
wants to hear about Kevin's lines. I
mean, I guess course members do. They
like Kevin's lines. Uh, but it's pretty
remarkable. So, very, very, very, very,
uh, impressive earnings for uh, Nvidia.
Uh, so absolutely fantastic.
Uh, so, uh, Scott is asking about Nvidia
pulling back spending on OpenAI deal.
Um, well, it's it's a little different.
So, Jensen has said he doesn't want to
invest more into OpenAI because they're
going to go public. That's sort of his
excuse. I actually think he just doesn't
want to come across as a shill for one
company. He doesn't want to pull like a
soft bank, right, and only shill for
open AI because he wants like he
realizes Anthropic is killing it. He
wants their business too. And what did
Anthropic just do? Anthropic just leased
a crapload of data center compute
capacity with XAI, you know, inside of
SpaceX. And guess what? Elon spends
money on Nvidia chips.
So, you know, it's it's actually uh it's
pretty impressive. Uh oh, I got an
update here. Anthropic expects a 130%
revenue surge to 10.9 billion in the
June quarter. Holy moly. And its first
operating profit. Wow.
Wow. That would be crazy if that's true.
They generated 4.8 billion in the first
quarter. Operating profit of 559 million
in the June quarter. Whoa,
dude. That should pump up the entire
server se honestly. That should that
alone should give you green candlesticks
on Nvidia right now that Anthropic is
potentially turning profitable. That's
huge
huge news. Uh that's that's actually a
really wild update. Wow, that's almost
worth its own video. Anyway, uh this is
all about Nvidia earnings here. Thank
you so much for coming to the Nvidia
earnings. Maybe we could do some more
live streams. You want to chat more, do
some more fundamental analysis, make
sure you join me. Meet Kevin.com. Use
the Memorial Day coupon code. I love you
all. We were live with course members
for like an hour this morning. I love
bringing value to everybody and we'll
keep bringing analysis. Thanks so much
for being here.