Nvidia Corp.’s (NASDAQ:NVDA) upbeat quarterly results and reports of some relaxations regarding the Trump administration’s semiconductor tariff policy triggered a rally in the sector.
Nvidia, Advanced Micro Devices, Inc. (NASDAQ:AMD), Broadcom Inc. (NASDAQ:AVGO), Marvell Technology, Inc. (NASDAQ:MRVL), Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM), Micron Technology, Inc. (NASDAQ:MU), Arm Holdings plc (NASDAQ:ARM) and other semiconductor chip players traded upwards on Thursday.
Nvidia reported record third-quarter revenue of $57.0 billion, up 62% year-over-year and above Wall Street expectations.
Also Read: Nvidia Taps Startup Menlo Micro To Fix Bottleneck In AI Chip Testing
Earnings per share came in at $1.30, also topping estimates and marking the company’s 12th consecutive double beat.
Data center revenue surged 66% to $51.2 billion, driving most of the growth, while gaming, professional visualization, and automotive segments also posted solid gains.
Looking ahead, Nvidia expects fourth-quarter revenue of $63.7 billion to $66.3 billion, ahead of analyst forecasts, citing soaring AI compute demand and strong uptake of its latest Blackwell platform.
Semiconductor Tariff Policy Uncertainty
Meanwhile, U.S. officials are signaling privately that they may delay imposing long-promised semiconductor tariffs, slowing a key part of President Donald Trump’s economic agenda, Reuters reported, citing people familiar with the discussions.
They have told government and industry stakeholders in recent days that the administration is taking a cautious approach to avoid provoking China and triggering a renewed trade conflict that could disrupt critical rare earth mineral supplies.
Trump previously pledged a 100% tariff on imported chips—excluding companies making or committing to make semiconductors in the U.S.
New chip tariffs could raise costs on consumer electronics, from appliances to smartphones. At the same time, Trump seeks to preserve a fragile trade truce with Beijing following his recent meeting with Chinese President Xi Jinping.
The semiconductor sector continued to be buoyed by an exciting earnings season and plum semiconductor partnerships with Saudi Arabia’s Humain.
NVDA Price Action: Nvidia shares were trading higher by 3.65% to $193.35 at last check Thursday, according to Benzinga Pro data.
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