Tech and crypto stocks rose in after-hours trading on Wednesday after chip maker Nvidia’s third-quarter earnings beat expectations on the top and bottom line, allaying fears of an AI bubble.
Nvidia reported record revenues of $57 billion for its third quarter ended Oct. 26, up 62% from a year ago and beating Wall Street projections of $54.7 billion.
The company reported profits of $31.9 billion, a 65% increase from last year and surpassing analyst expectations. It also gave a higher-than-expected guidance of $65 billion in revenues for its fourth quarter, suggesting the appetite for artificial intelligence isn’t yet slowing down.
Concerns of an AI bubble had seen tech shares slide over the past weeks, which saw crypto also dump as investors sold off risky assets, and the broader market was awaiting Nvidia’s earnings as a health check on the AI-heavy tech sector.
Crypto, tech stocks rise on Nvidia earnings
Shares in Nvidia (NVDA) jumped over 5% in after-hours trading on its Q3 earnings to $196 after closing trading on Wednesday up 2.85% to $186.52.
The chip maker’s earnings beat helped lift shares across crypto companies after-hours, with Coinbase (COIN), Strategy (MSTR) and Circle Internet Group (CRCL) all seeing slight bumps after finishing the trading session down.
Crypto exchange Bullish (BLSH) was also lifted by 1% in post-trading after finishing the day down 3.7% despite beating Wall Street’s predictions and reporting its strongest quarter since going public in August.
Big Tech stocks were also up, with Apple (AAPL), Microsoft (MSFT), Alphabet (GOOG), Amazon (AMZN) and Meta (META) all seeing gains after the bell.
Bitcoin lifts from below $89,000
Nvidia’s earnings have also helped to buoy Bitcoin (BTC), which has dropped over 10% in the past week amid a wider market rout.
Bitcoin fell to a 24-hour low of $88,540 in late trading on Wednesday, dipping below $89,000 for the first time since late April.
It has since seen a recovery to around $91,500, coinciding with Nvidia’s earnings announcement and is down 0.6% over the past day, per CoinGecko.
Ether (ETH) has also seen a recovery after sinking to around $2,873 on Wednesday, its first time under $2,900 since mid-July. It has climbed back above $3,000 and is down 1.9% on the day.