Earnings Report

Nvidia’s Q3 earnings exceeded expectations, fueled by the AI boom and reinforced by a bullish outlook. CEO Jensen Huang dismissed “AI bubble” concerns, citing increasing GPU adoption, new AI applications, and agentic AI. The company reaffirmed its $500 billion AI chip order forecast for 2025-2026. China sales were “insignificant” due to geopolitical tensions and competition, despite licenses for H20 chip exports. Analysts see continued growth, projecting substantial future cash flow for Nvidia.

Nvidia’s Q3 earnings exceeded expectations, driving shares up in premarket trading and boosting confidence in the AI sector. Revenue jumped 62% year-over-year, supported by a strong Q4 forecast. CEO Jensen Huang addressed AI bubble concerns, citing robust demand for Nvidia’s GPUs across various sectors. Analysts praised Nvidia’s transparency in tackling potential risks, including supply chain issues and market anxieties. The positive results spurred gains for other chipmakers and related infrastructure providers, signaling renewed optimism in the AI landscape.

Global tech stocks surged, propelled by strong AI confidence after Nvidia’s outstanding earnings. Nvidia’s revenue exceeded expectations, boosting investor sentiment and lifting shares of semiconductor firms like BESI, ASMI, Samsung, and Foxconn. Experts noted Nvidia’s remarkable growth and the transformative impact of AI, while also cautioning about intertwined investments and potential vulnerabilities related to concentrated risk. Concerns about debt and valuations remain despite strong balance sheets.

Despite a broader equities sell-off, investor sentiment towards AI remains resilient. European and Asian markets have experienced losses, mirroring U.S. trends, pressuring AI stock valuations. Nvidia’s upcoming earnings report is crucial for gauging the AI market’s health. Analysts suggest this pullback is sector-specific, presenting potential buying opportunities and portfolio rebalancing chances. Experts emphasize that AI’s growth is still in its early stages, fueled by nascent credit market involvement, but also caution investors to ensure compensation for risk.

StubHub (STUB) shares fell 5% after hours following its first earnings report post-IPO in September 2025. While Q3 revenue beat expectations at $468.1 million, the company reported a significant $1.33 billion net loss, or $4.27 per share, attributed to a $1.4 billion IPO-related stock compensation charge. Gross Merchandise Sales (GMS) increased 11% year-over-year to $2.43 billion, but analysts cited challenging comparisons due to the prior year’s “Swift lift.” Since its $23.50 IPO, the stock has declined roughly 20%.

Wall Street faced a volatile week, with the Nasdaq falling over 3% and the S&P 500 declining 1.6%, ending winning streaks. Concerns about AI stock valuations, particularly Nvidia, and uncertainty in China contributed to the downturn. New jobs data and consumer sentement was also low. Strategic moves included buying Starbucks and Boeing shares, adding GE Vernova stock for its AI-related benefits. Eli Lilly gained on strong GLP-1 agreement news and encouraging drug trial results. Eaton, DuPont, and Solstice Advanced Materials released earnings reports of mixed quality. Rising beef prices impacted restaurant like Texas Roadhouse.

Block’s (XYZ) shares fell nearly 8% after Q3 2025 earnings missed expectations. While revenue grew 2% year-over-year, Square’s gross profit growth slowed. Cash App saw robust growth, with gross profit up 24%. Block adjusted its full-year gross profit guidance upward. Despite increased net income, investors are concerned about Square’s slowing growth and competition. Block’s ability to regain momentum and improve profitability will be crucial.

Datadog’s shares surged 23% after exceeding Q3 earnings expectations, reporting $885.7 million in revenue, a 28% year-over-year increase. Fueled by strong demand for its AI-powered security solutions, Datadog forecasts Q4 revenue between $912 million and $916 million, surpassing Wall Street estimates. The company’s strategic investments in AI, including Bits AI Agents and LLM Observability enhancements, are driving growth. Datadog’s adjusted EPS reached 55 cents, and customers with over $100,000 ARR increased by 16%.

Spotify’s Q3 earnings exceeded revenue expectations, but Q4 guidance for revenue and subscriber growth disappointed investors, causing a stock dip. While EPS and revenue beat estimates, premium subscriber numbers fell slightly short. A recent price hike had limited short-term impact. Ad revenue declined, contrasting premium revenue growth. Despite this, MAUs exceeded projections, boosted by mobile free tier enhancements. Spotify is leveraging AI, partnering with labels and integrating with ChatGPT, while navigating brand challenges from CEO’s investment choices.

Pinterest (PINS) shares plummeted nearly 20% after Q3 earnings missed EPS estimates and provided weak holiday season guidance. While revenue grew 17% year-over-year to $1.05 billion and MAUs reached 600 million, the forecast for Q4 revenue fell short of expectations. The company cited moderating ad spend in the U.S. and Canada due to tariff-related margin pressures for larger retailers, impacting the home furnishing category. Despite AI investments and user growth, Pinterest faces a competitive ad landscape dominated by tech giants.