Nvidia Stock Jumps 4% After Earnings Beat; AI Demand Fuels Data Center Growth

Nvidia (NVDA) shares surged nearly 4% in after-hours trading on Wednesday following a strong earnings report that exceeded Wall Street expectations. The tech giant reported a 69% year-over-year revenue increase for the first quarter, driven primarily by explosive growth in its data center business, which rose 73% compared to the same period last year.

Net income reached $18.8 billion, marking a 26% annual increase, as Nvidia continues to benefit from heightened global demand for AI infrastructure. The company’s strong performance gave its stock a modest year-to-date gain and a 20% rise over the past 12 months.

The impressive earnings had a ripple effect across the AI and crypto markets. AI-related cryptocurrencies such as Bittensor, NEAR Protocol (NEAR), and Internet Computer (ICP) edged higher following Nvidia’s results. However, despite the short-term boost, most of these tokens remained lower on the day. Still, Nvidia’s record-setting data center growth reinforced investor confidence in long-term AI adoption across sectors, including blockchain.

Looking ahead, Nvidia offered cautious guidance. The company warned that second-quarter revenue might fall below market expectations due to increased trade tensions and new tariff-related restrictions between the U.S. and China. This geopolitical uncertainty could impact future chip exports, especially those tied to AI development and cloud infrastructure.

Despite the forecasted headwinds, Nvidia’s performance underlines its dominance in the AI hardware space and the broader tech sector. With accelerating global interest in artificial intelligence, Nvidia remains a key beneficiary of the ongoing AI boom—supporting both its core business and indirectly boosting sentiment in AI-focused crypto assets.