Nvidia Corp. (NASDAQ:NVDA) has reported exceptional fourth-quarter earnings and the semiconductor giant led by Jensen Huang has more than doubled its data center revenue for the full year, posting record quarterly growth compared to its peers.
What Happened: The chipmaker’s data center revenue exploded in the fourth quarter, hitting a record $35.6 billion. This represents a dramatic 93.5% jump from the same period last year and a solid 15.6% increase from the previous quarter’s $30.8 billion.
On an annual basis, the revenue for fiscal 2024 was nearly $47.5 billion, which grew more than two times to $115.3 billion in fiscal 2025.
The revenue of its peers, Advanced Micro Devices Inc. (NASDAQ:AMD) and Intel Corp. (NASDAQ:INTC) also grew sequentially. However, Intel’s revenue dropped from the same quarter last year.
| Period | Nvidia | Intel | AMD |
| Q1 2022 | $3.8B | $6.1B | $1.3B |
| Q2 2022 | $3.8B | $4.7B | $1.5B |
| Q3 2022 | $3.8B | $4.4B | $1.6B |
| Q4 2022 | $3.6B | $4.6B | $1.7B |
| Q1 2023 | $4.3B | $3.7B | $1.3B |
| Q2 2023 | $10.3B | $4.0B | $1.3B |
| Q3 2023 | $14.5B | $3.8B | $1.6B |
| Q4 2023 | $18.4B | $4B | $2.3B |
| Q1 2024 | $22.6B | $3B | $2.3B |
| Q2 2024 | $26.3B | $3B | $2.8B |
| Q3 2024 | $30.8B | $3.3B | $3.5B |
| Q4 2024 | $35.6B | $3.4B | $3.9B |
“Data centers will increasingly become AI factories, and every company will have either rented or self-operated,” said Huang during the earnings call.
Highlighting a firm future outlook, Huang added, “We expect sequential growth from both compute and networking.”
As Wedbush analyst Dan Ives highlighted the company’s strength in “AI Revolution,” FinChat replied to his X post sharing quarterly data of Nvidia’s data center revenue over five years. From $1 billion in the January quarter of 2020, the revenue has grown by 3460% to $35.6 billion in the quarter ended January 2025.
Why It Matters: Intel dominated the data center market in 2022, but its reign faltered in 2023 as Nvidia surged ahead. AMD, meanwhile, experienced a slow burn in 2022 and 2023 before igniting in late 2023.
Intel’s interim CEO, Michelle Holthaus said during its fourth-quarter earnings call that the data center business is an attractive market for the company, “But I am not happy with where we are today.”
“We’re not yet participating in the cloud-based AI data center market in a meaningful way. We have learned a lot as we have ramped Gaudi and we are applying those learnings going forward,” she added.
Meanwhile, AMD’s fourth-quarter data center segment revenue increased 69% year-over-year to a record $3.9 billion.
AMD CEO Lisa Su expects strong double-digit growth in its data center business throughout 2025, driven by high demand for both server and GPU products.
Price Action: Nvidia rose 3.67% on Wednesday and fell 1.49% in after-hours, this outpaced the 0.24% rise in the Invesco QQQ Trust, Series 1 (NASDAQ:QQQ), which tracks the Nasdaq 100 index.
The stock remains 5.08% lower on a year-to-date basis and up 66.81% over a year.
Benzinga tracks 40 analysts with an average price target of $172.28 for the stock, reflecting a “buy” rating. Estimates range widely from $120 to $220. Recent ratings from Rosenblatt, Morgan Stanley, and Tigress Financial average $197.33, suggesting a potential 52.59% upside.
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