In a fiscal third-quarter earnings report that shattered Wall Street expectations, Nvidia Corp. delivered revenue of $57 billion—a 62% surge year-over-year—while net income climbed 65%, underscoring its unchallenged dominance in the artificial intelligence infrastructure race. CEO Jensen Huang dismissed bubble concerns outright during the earnings call, declaring, “We excel at every phase of AI,” as reported by The Guardian. This performance, detailed in Nvidia’s official filings, not only quelled immediate market jitters but also reinforced analyst Dan Ives’ view from Wedbush Securities that the results represent a “masterpiece quarter” throwing AI bubble worries “out the window.”

Wedbush’s Ives, speaking on CNBC’s ‘Closing Bell’ in a segment titled “Dan Ives: Nvidia put up a masterpiece quarter,” emphasized the early stage of AI adoption, likening it to the “top of the third inning, one out” in a baseball game. He highlighted stark adoption disparities: just 3% of U.S. companies have embraced AI, near-zero in Europe, and minimal in Asia excluding China, with sovereign funds in the Middle East only beginning to engage. Demand for Nvidia chips outstrips supply by a 12-to-1 ratio, Ives noted, positioning Nvidia, Oracle, and Microsoft as prime buys in a tech bull market with “another two years left.”

Nvidia’s Earnings Blueprint: Demand Defies Skeptics

The numbers speak volumes. Nvidia’s data center segment, the engine of its growth, propelled results amid global AI buildouts, as covered by AP News, which noted sales surged beyond lofty analyst bars, easing fears of a Big Tech bust. Huang’s commentary addressed capacity concerns head-on, pointing to hyperscaler commitments and sovereign AI initiatives. Investors, however, remain cautious; Nvidia shares dipped initially post-earnings amid broader market selloffs tied to valuation worries, per CNBC.

Ives countered bearish narratives on circular financing—where tech giants fund each other’s AI spends—arguing real-world use cases are exploding. He cited Palantir Technologies, MongoDB, and Snowflake as evidence of an applications arms race driving continuous capex. Even for heavy spenders like Meta Platforms and Microsoft, Ives sees this as more than hope: a “table pounder moment” similar to Alphabet’s recent rerating.

Global AI Adoption: A Lopsided Playing Field

Geographically, the AI revolution is nascent. Ives’ recent three-week Asia tour informed his thesis: ex-China adoption lags under 1%, while U.S. Fortune 500 firms lead but represent just a fraction of potential. Europe trails dramatically at zero percent penetration, he stated on CNBC. Sovereign wealth funds, particularly from the Middle East, are ramping up, fueling Nvidia’s backlog. This imbalance ensures supply constraints persist, benefiting Nvidia over rivals like Advanced Micro Devices.

Huang echoed this in Nvidia’s call, highlighting AI tipping points over bubbles, as detailed in Reuters. Analysts project $1 trillion in AI infrastructure spending over the next three years—more than the prior decade combined—validating Ives’ forecast that Street estimates underrate Nvidia by 15-20%.

Customer Confidence: Hyperscalers on the Treadmill

Critics question if Nvidia’s customers—Meta, Microsoft, Alphabet—can justify endless capex amid unclear ROI timelines. Ives acknowledges the treadmill but pivots to payback clarity emerging via agentic AI and enterprise apps. Oracle’s upcoming results, he predicts, will mirror this enthusiasm, with continuous spending as an arms race intensifies.

Alphabet’s resurgence bolsters the case. Once dismissed—”New York City cab driver is bearish on it,” per Ives—Google has flipped the script. Its Gemini model garners raves for performance, even on custom processors, reducing Nvidia reliance slightly but fueling overall demand. Wedbush’s bull case targets $400 for Alphabet shares, with Nvidia as the “one chip in the world” at the centerpiece.

Apple’s Consumer AI Pivot Hinges on Gemini

Apple Inc., with its 2.4 billion iOS devices and 1.5 billion iPhones, looms as the consumer AI wildcard. Ives flags iPhone 17 as a “sleeper upgrade cycle” driven by modernization, but the catalyst is a pending Google Gemini deal. “It’s just a matter of time,” Ives asserted on CNBC. Recent DOGE clearance—referring to Department of Government Efficiency initiatives under the Trump administration—removes regulatory hurdles, accelerating Apple’s entry.

Tim Cook’s reticence on gross AI capex belies its massive install base potential. The consumer AI revolution, Ives argues, routes through Cupertino, transforming devices into AI powerhouses. This aligns with Huang’s vision of AI pervading every phase, from inference to training.

Bubble or Tipping Point? Wall Street Weighs In

Skeptics persist, with ABC News noting Nvidia as a bellwether amid bubble fears. Yet, post-earnings stock pops—up in after-hours trading, per Business Insider—signal relief. Ives dismisses bears: they’ll “watch this AI party from the outside.” CNBC reports analysts view results as a strong infrastructure signal, though bubble barometer questions linger.

Posts on X from industry watchers echo Ives, calling it a “positive AI feedback loop” powering $57 billion quarters, aligning with Bitget News. Nvidia’s leadership in Blackwell and Rubin platforms ensures moat expansion, with supply ramping to meet sovereign and enterprise demand.

Outlook: Two More Innings of Bull Run

Looking ahead, Ives recommends owning Nvidia, Oracle, Microsoft, Alphabet, and Apple. Capex cycles extend 12-18 months, with use cases proliferating. BBC News notes shares rose post-results, easing concerns. As AI shifts from infrastructure to agents and consumer apps, Nvidia’s ecosystem—spanning chips to software—positions it for sustained dominance.

The third inning thesis holds: early innings mean explosive growth. With global adoption accelerating and supply bottlenecks favoring incumbents, the AI trade endures.