Nvidia stock fluctuated on Thursday as investors digested the company's latest earnings report, which signaled robust AI demand but provided little clarity on China.
Sales surged 56% in the quarter to $46.74 billion, which was roughly in line Wall Street's projected $46.06 billion, according to LSEG. The company reported adjusted earnings per share of $1.05, just topping the $1.01 per share estimated by analysts.
The better-than-expected results were clouded by concerns over Nvidia's future in China.
"There was more noise around this quarter and the guidance and what's implied than I can remember ever on an Nvidia quarter, let alone on any other megacap tech company," said Deepwater Management's Gene Munster. "Of course, a lot of that noise is related to all the mechanics around China."
In April, the Trump administration blocked Nvidia from selling its H20 chip in the market.
In August, Nvidia CEO Jensen Huang struck a deal with President Donald Trump to restart sales to China by agreeing to give 15% of sales in the region to the government. That deal has not been finalized.
The market could be a $50 billion opportunity for Nvidia, growing 50% per year, Huang said in a call with analysts Wednesday, while adding that there's a "real possibility" Nvidia can sell its advanced Blackwell processor there.