Nvidia didn't like Wall Street's estimates. So it tried to reset them.

Nvidia didn't like Wall Street's estimates. So it tried to reset them.

Brian Sozzi · Executive Editor

Wed, September 2, 2026 at 3:22 PM GMT+3 3 min read

• NVDA -1.39%

Nvidia (NVDA) didn't like what it saw in Wall Street estimates for its future revenue growth.

"In addition to having much stronger visibility into next year, the team noted that its decision to provide an out-year outlook was also motivated by the fact that there was a meaningful gap between Street estimates and what Nvidia was seeing internally, which the company believed could have created supply-chain planning challenges for partners," JPMorgan analyst Harlan Sur wrote in a note today after his meeting with Nvidia executives.

With Nvidia's stock stuck in neutral for the better part of the summer prior to earnings as investors fretted about peak artificial intelligence growth, the chip darling decided to take one swift measure to silence the naysayers.

The action: serving up a rare long-term outlook that blew everyone on the Street away.

Nvidia said after reporting its fiscal second quarter earnings that it sees 70% revenue growth for fiscal year 2028. This was above analyst forecasts for 45% growth. The sales gain would be larger — think in excess of 100% — if not for memory chip shortages, said Nvidia CEO Jensen Huang.

"FY28 growth outlook is supported by broad-based improvements in demand and visibility; NVDA appears comfortable with the 70% Y/Y growth framework," Sur added.

Interestingly — and perhaps much to the dismay of Nvidia execs — the Street continues to take a cautious view on Nvidia's fiscal year 2028 revenue growth.

Yahoo Finance analyst estimates show the Street modeling 63% year-over-year revenue growth for Nvidia in fiscal year 2028 on average, below the 70% target it just guided to.

To be sure, the company's fiscal second quarter warranted a strong long-term outlook that may still end up proving conservative.

Nvidia saw adjusted earnings per share of $2.22 on revenue of $96.2 billion. These were better than the $2.09 per share the Street had expected and revenue of $92.3 billion.

Nvidia's Data Center revenue, which includes Hyperscalers and AI Clouds, Industrial, and Enterprise (ACIE), came in at $89 billion versus a projected $85.8 billion.

Edge Computing, which includes Nvidia's other businesses, such as physical AI and gaming, brought in $7.2 billion. Analysts were expecting $6.6 billion.

Nvidia projected fiscal third quarter revenue of between $105.8 billion and $110.1 billion. Wall Street was calling for $105.1 billion.

This would be the first quarter above $100 billion in revenue for Nvidia, Stifel analyst Ruben Roy said.

"I don't know what to find wrong with the report," Laffer Tengler Investments CEO & chief investment officer Nancy Tengler said on Yahoo Finance's Opening Bid (video above).

Tengler said she is a buyer of Nvidia's stock.

Brian Sozzi is Yahoo Finance's Executive Editor, host of the 'Power Players With Brian Sozzi' podcast and a member of Yahoo Finance's editorial leadership team. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email brian.sozzi@yahoofinance.com.

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