Nvidia (NVDA) shares retreated to $219 on September 11, their lowest level since September 2, after pulling back from a monthly high of $234. The decline came as CEO Jensen Huang delivered an optimistic outlook for artificial intelligence at the Goldman Sachs Communacopia \u0026 Tech conference on Thursday.

During the presentation, Huang reaffirmed a projection he first shared exactly 12 months earlier: that the artificial intelligence sector could reach a market valuation of between $3 trillion and $4 trillion before the end of this decade.

“The semiconductor industry is going to just keep getting larger and larger,” Huang said. He cited the emergence of a revolutionary computing architecture, the end of Moore’s law scaling, and rising demand for advanced artificial intelligence capabilities as key catalysts.

The comments followed Nvidia’s latest quarterly results. The chipmaker reported adjusted earnings of $2.22 per share and revenue of $96.2 billion, exceeding analyst expectations of $2.09 per share and $92.3 billion in revenue.

Nvidia’s Data Center segment generated $89 billion in revenue, above the forecast of $85.8 billion. Edge Computing operations, which include gaming and physical artificial intelligence applications, contributed $7.2 billion compared with expectations of $6.6 billion.

Revenue Growth Exceeds Expectations

Nvidia’s revenue increased 106% year over year and rose 18% sequentially. Net income reached $59 billion, exceeding the company’s total revenue for the second quarter of the previous fiscal year.

Gross margin also improved, rising from 72.4% in the second quarter of fiscal 2026 to 75% in the second quarter of fiscal 2027.

For fiscal 2028, Nvidia’s management has projected 70% revenue growth, well above the 45% expansion rate modeled by Wall Street analysts. Huang said growth could potentially exceed 100% if memory-chip supply constraints were resolved.

CoreWeave (CRWV) CEO Michael Intrator, speaking at the same conference, also described strong demand for artificial intelligence infrastructure.

“We are struggling to meet demand every day,” Intrator said. “Every GPU we have could be sold to multiple different clients.”

Nvidia owns an 11.5% stake in CoreWeave and is the exclusive provider of the GPUs powering the company’s artificial intelligence data center infrastructure.

Technical Pattern and Revenue Projections

On the daily chart, NVDA has formed a cup-and-handle pattern, a technical formation that market participants often associate with the possibility of continued upward movement. During the recent consolidation, the stock remained above its 100-day Exponential Moving Average.

Market analysts estimate that Nvidia’s annual revenue could rise to $411 billion, followed by a potential 77% increase the following year to approximately $727 billion. Those projections exclude possible sales opportunities in China and contributions from Nvidia’s central processing unit product line, which marks the company’s entry into a market historically dominated by AMD and Intel.

A recent PWC analysis projected that global spending on artificial intelligence data center infrastructure will total $32 trillion between now and 2050. Such spending would support demand for Nvidia’s semiconductor products. The outlook also places attention on memory-chip availability, potential China sales, and whether Nvidia’s CPU products contribute to future revenue.

NVDA was trading near $219 on September 11. Market participants were monitoring $236 as the next level of interest if the stock moves above its current resistance.

Source: Blockonomi