Nvidia CEO dismisses AI bubble concerns as company surprises with accelerated growth, calming investor worries. Forecasted sales of $65 billion for fiscal Q4, with a 75% gross margin. Third-quarter sales rose 62%, reaching $51.2 billion in data-center segment. Shares jumped 5% in extended trading, adding $220 billion in market value.

Some analysts skeptical about sustainability of AI infrastructure spending growth, despite Nvidia’s strong earnings report. Company spent $26 billion renting back its own chips from cloud customers. Business increasingly concentrated, with four customers accounting for 61% of sales. Nvidia investing billions in AI companies, raising circular economy concerns.

Nvidia facing possible impediments to growth, including U.S. export restrictions limiting access to China. Seeking new growth opportunities in the Middle East. Export authorization for up to 35,000 chips to Saudi Arabia and UAE could be worth over $1 billion. Concerns about physical bottlenecks impacting revenue growth through 2026 and beyond.

Read more at Yahoo Finance: Nvidia’s strong forecast calms AI bubble jitters, for now