Nvidia Beats Q3 Estimates as AI Boom Drives Revenue

Nvidia earnings clear lofty hurdle set by analysts amid fears about an AI bubble

Nvidia’s latest quarterly results easily surpassed analysts’ high expectations, offering reassurance to investors worried that the rapid surge in AI investment could be unsustainable. The semiconductor company reported strong growth in demand for the chips that power large-scale AI systems, confirming its central role in the market’s AI-driven expansion.

The fiscal third-quarter results, covering August through October, showed expanding revenue and profit driven by sales of Nvidia’s advanced processors. Those figures arrived amid growing debate over whether AI spending has become overheated; yet Nvidia’s performance suggests continued robust demand for the hardware that underpins modern AI applications.

Retail and institutional investors reacted positively: Nvidia’s stock climbed more than 5% in after-hours trading on the day of the announcement. The company reported earnings of $31.9 billion, or $1.30 per share, and revenue of $57 billion—both well above consensus forecasts. Management also issued a strong revenue outlook for the next quarter, signaling that orders for its flagship Blackwell chips remain exceptionally high.

CEO Jensen Huang described the current market as a “virtuous cycle” and emphasized the depth and breadth of Nvidia’s growth. CFO Collette Kress highlighted the pace of sales for AI-focused chips, projecting substantial cumulative revenue from these products over the coming months and years. Their commentary sought to counter narratives that suggest AI investment is a fleeting bubble.

Nvidia’s dominant position has made it a bellwether for the wider technology market. Demand from major cloud providers and AI developers has helped lift valuations across the sector, with other tech giants also benefiting from increased AI spending. While concerns about valuation swings remain, Nvidia’s quarterly numbers provide a clear indicator that, for now, AI-related hardware demand is sustaining the company’s revenue trajectory.

Freezer issue dents Metro’s bottom line in Q4, says costs to continue into Q1

Metro Inc., the operator of the Metro grocery chain and Jean Coutu drugstores, reported that a prolonged outage at its Toronto frozen food distribution centre weighed on results for the fourth quarter. The facility was closed for almost two months due to a refrigeration failure, and the temporary disruption contributed $22.5 million in costs for the quarter.

Operations resumed in mid-November, and CEO Eric La Flèche said the company expects the distribution centre to be largely back to normal by the end of December. Metro has been executing contingency plans to keep stores supplied and is coordinating with insurers to determine recoverable losses related to the incident.

CFO Nicolas Amyot indicated that Metro expects additional direct costs in the first quarter of fiscal 2026, including expenses for temporary chilling equipment and contingency logistics, estimating an impact on net earnings of roughly $15 million to $20 million.

Despite the disruption, Metro posted quarterly sales of $5.11 billion, with food same-store sales rising 1.6% and pharmacy same-store sales climbing 4.8%. Net profit for the quarter was $217 million, or $1.00 per diluted share, slightly below last year’s $219.9 million but higher on a per-share basis after adjusting for share count. On an adjusted basis, Metro reported earnings of $1.13 per diluted share versus $1.02 a year earlier.

Metro completed a multi-year supply-chain modernization program that introduced automation across its warehouses in Quebec and Ontario. The company previously opened automated distribution centres for fresh and frozen products in Etobicoke and Terrebonne, and expanded its fresh produce operations in Laval—investments intended to improve efficiency and resilience across its logistics network.

Questrade launches new trading platform as online brokerage competition rises

Questrade Financial Group has introduced a new trading platform called Questrade Pro and is adding features such as custom indexing and automated portfolio rebalancing to its product lineup. The move intensifies competition among Canada’s online brokerages as firms race to attract DIY investors with advanced tools and lower fees.

The announcement follows recent feature upgrades from Wealthsimple and a shift by Qtrade Direct Investing toward commission-free trading. Questrade’s president, Rob Galaski, said the company aims to accelerate innovation across the industry with this rollout.

Over the past few years, competition has driven rapid asset growth across the sector: Wealthsimple’s assets under administration have expanded dramatically, and Questrade has also grown significantly while securing a banking licence. These developments reflect the industry trend of adding bank-like services, zero-commission options and more sophisticated portfolio tools to meet investor demand.

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