Nvidia managed to confirm market expectations at a time when investors were beginning to doubt the AI narrative and the returns that exorbitant investments in the artificial intelligence industry can deliver. Microchip giant AI beat analysts’ forecasts at both the low and high end of their range, offering an even better-than-expected picture.

Specifically, adjusted earnings per share came in at $1.30, slightly above estimates of $1.25, for a total of $31.91 billion. And, revenues came in well ahead of expectations, at $57.01 billion from an expected $54.92 billion.

In the same period last year, the company had revenue of $35.1 billion and earnings per share of just 81 cents.

As for its fourth-quarter estimates, the company maintained that it expects revenue of about $65 billion, down from the roughly $62 billion the market was expecting. The strong guidance was key for investors.

It’s no coincidence that the stock jumped more than 3% on Wall Street after-hours trading, continuing to make up lost ground for the month. Through Wednesday’s close, its stock was counting losses of 8% for November against the backdrop of a broader correction in Big Tech, but on a year-to-date basis, it remains a winner with a gain of more than 38%.

Nvidia has now become the most valuable listed company globally, largely thanks to ever-increasing demand for the artificial intelligence microchips it produces, known as GPUs. Its client list includes giants such as Microsoft, Amazon, Google, Oracle, and Meta, and its microchips are used by all the leading AI companies to develop new models and technologies. Nvidia’s sales and prospects are being closely watched by the tech industry as an indication.