# Nvidia’s stock hits May record as quarterly revenue jumps 41 percent

Digest AI · Hardware & Compute · published 2026-10-02T01:47:00Z

Canonical: https://digestai.news/story/nvidias-stock-hits-may-record-as-quarterly-revenue-jumps-41-percent

## Summary

Nvidia’s stock reached a new record of **$237.87** on October 2, surpassing its May 14 peak of **$236.54**, despite the company’s share price remaining nearly unchanged since then. The chipmaker’s market capitalization now stands at approximately **$5.7 trillion**, yet its business has grown significantly: revenue for the fiscal second quarter of 2027 (**$96.2 billion**) marked a **41% increase** over the **$68.1 billion** reported in the prior quarter (ending January 25, 2026). Revenue growth accelerated sharply, with year-over-year increases of **73% in Q4 2026**, **85% in Q1 2027**, and **106% in Q2 2027**, driven primarily by its data center division—now accounting for over **90% of total revenue** in Q2 at **$89.0 billion**. Adjusted earnings per share rose **40%** from **$1.59** in Q4 to **$2.22** in Q2, and Nvidia expects **$108 billion** in revenue for Q3, a **59% jump** from Q4’s **$68.1 billion**.

The author notes that while the stock’s price-to-earnings ratio has improved—dropping from **51x** at the May record to **34x**—growth is decelerating sequentially (**18% in Q2 vs. 20% in Q1**). The article warns that AI data center spending cycles could impact valuations, though the author argues the stock is now a better value than in May, citing stronger earnings growth.

## Key points

- Nvidia’s stock hit **$237.87** on October 2, matching its May 14 record of **$236.54** despite unchanged share price since then
- Quarterly revenue surged **41%** to **$96.2 billion** in Q2 2027, with data center revenue at **$89.0 billion**—over **90% of total**
- Adjusted earnings per share rose **40%** to **$2.22**, and Nvidia guided for **$108 billion** in Q3 revenue, a **59% increase**

## Why it matters

Nvidia’s revenue growth and improved earnings efficiency signal continued dominance in AI chips, but slowing sequential growth raises questions about long-term demand. The stock’s valuation gap from May could attract investors, though market cycles remain a risk.

## Sources

1. [Nvidia Stock Is Back at Its May Record. Its Quarterly Revenue Is 41% Higher.](https://fool.com/investing/2026/10/02/nvidia-stock-is-back-at-its-may-record-its-quarterly-revenue-is-41-higher) (fool.com, 2026-10-02)

## Cite

Digest AI, "Nvidia’s stock hits May record as quarterly revenue jumps 41 percent", 2 October 2026, https://digestai.news/story/nvidias-stock-hits-may-record-as-quarterly-revenue-jumps-41-percent

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