On August 27, Nvidia (NVDA.US) surged over 4% in current after-hours trading, reaching $218.84. In terms of news, Nvidia's earnings report released after the market close on Wednesday showed that its Q2 2026 performance more than doubled compared to the same period last year and exceeded market estimates. Company executives stated during a conference call that Amazon will deploy an additional 2 million Nvidia graphics processing units (GPUs). Due to accelerating demand, Nvidia's operating revenue for the fiscal year 2028 is expected to grow by approximately 70%, far surpassing analysts' estimated increase of 45%, crushing market expectations. Nvidia's Chief Financial Officer Colette Kress noted that even facing supply shortages, Nvidia's operating revenue for fiscal year 2028 is expected to experience rapid growth, with customer expectations indicating a doubling of growth. She mentioned that Nvidia has invested $50 billion in cutting-edge AI laboratories, and Wall Street investment institutions will collaborate to support the construction of these laboratories. In the medium to long term, the revenue-sharing model could generate billions of dollars in income for the company, with demand from AI laboratories expected to contribute about a quarter of revenue next year. Nvidia believes that supply bottlenecks will persist at least until fiscal year 2028, with current memory chips in an extreme pricing environment, compounded by rising component costs, which will weigh on Nvidia's profit margins. The company estimates that the adjusted gross margin for the third quarter will be 74%, down about 1 percentage point from 75% in the second quarter. Nvidia stated that it will increase product prices in the first quarter. Kress also mentioned that Nvidia has fully ramped up production of the next-generation Vera Rubin central processing unit, with a revenue opportunity of $40 billion per gigawatt (GW), and expects Vera Rubin to account for about 20% of data center operating revenue in the third quarter. CEO Jensen Huang stated that the supply chain capacity is sufficient to support Nvidia's confidence in achieving 70% growth for fiscal year 2028, adding that AI has reached a turning point, is performing useful work, and tokens are becoming productive and profitable. 'Now, computing power equals revenue,' he said.