NVIDIA Corporation provides graphics and compute and networking solutions in the United States, Taiwan, China, Hong Kong, and internationally. The Graphics segment offers GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU or vGPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems; and Omniverse software for building and operating metaverse and 3D internet applications. The Compute & Networking segment comprises Data Center computing platforms and end-to-end networking platforms, including Quantum for InfiniBand and Spectrum for Ethernet; NVIDIA DRIVE automated-driving platform and automotive development agreements; Jetson robotics and other embedded platforms; NVIDIA AI Enterprise and other software; and DGX Cloud software and services. The company's products are used in gaming, professional visualization, data center, and automotive markets. It sells its products to original equipment manufacturers, original device manufacturers, system integrators and distributors, independent software vendors, cloud service providers, consumer internet companies, add-in board manufacturers, distributors, automotive manufacturers and tier-1 automotive suppliers, and other ecosystem participants. NVIDIA Corporation was incorporated in 1993 and is headquartered in Santa Clara, California.

NVIDIA Corporation

Key Points
Nvidia stock has skyrocketed in recent years, powered by billion-dollar earnings growth.
This is thanks to the company’s leadership in the high-potential market of AI.
Nvidia (NASDAQ: NVDA) has almost become a household name -- at least for investors -- over the past few years. As the maker of the world's top artificial intelligence (AI) chips, the company has seen earnings and its stock price skyrocket. Demand is high for AI compute as companies and governments aim to apply this technology to their needs, and Nvidia is benefiting from this momentum.
It's very clear that if you invested in Nvidia several years ago and held onto the shares, you've scored a win -- and this is with a bet of any size, from a few dollars to a major investment. Let's consider a $500 investment in Nvidia made 10 years ago and find out how much you would have now.
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What happened a decade ago
First, though, let's talk a bit more about the Nvidia growth story so far. The past 10 years have actually been key for the tech player since this period covers Nvidia's presence in the world of AI. About a decade ago, the company decided to tailor its graphics processing units (GPUs) to specifically suit this growing market. At the time, AI wasn't making headlines as it does today, so this was a risky bet -- and it turned out to be a successful one.
Over the past few years, companies have recognized the potential of AI to improve their businesses, so they've turned to Nvidia for the GPUs needed to develop and use this technology. Customers may find these high-powered chips across cloud service providers, from Amazon to Microsoft, for example.
All of this has helped Nvidia's revenue and profit soar well into the billions of dollars. In the latest full year, these metrics advanced in the triple digits to $130 billion and $72 billion, respectively.
Now, let's move along to stock performance. Over the past 10 years, the shares have skyrocketed, so if you invested $500 in Nvidia at the start of that period, you would have more than $114,000 right now. That's enormous, especially considering the initial investment wasn't a huge one.
Does Nvidia still have room to run?
Today, however, you might be wondering if buying and holding Nvidia stock still is a good idea. A reasonable question is: How long can this supercharged stock continue to soar? It's impossible to predict Nvidia's moves over the short term -- the stock could flounder or stagnate at a certain point. But there is reason to believe that this market leader still has plenty of room to run over the long term.
In fact, there are several reasons to be optimistic about Nvidia's future earnings and stock performance. One major point is that high-performance GPUs are needed for AI models to complete their tasks -- this means that the GPU could be an essential tool well into the future as AI is put to work. Of course, other companies make AI chips, but Nvidia has maintained its lead, and the company's focus on frequent innovation should help it remain on top.
It's also important to remember that Nvidia's customers, such as Amazon and Microsoft as I mentioned above, are technology titans with the financial strength to invest in the best products available. And their desire to win in AI also pushes them toward the fastest GPUs available. All of this works in Nvidia's favor.
Finally, Nvidia's role in AI likely will continue to evolve in a positive way. The company has developed various platforms for industries -- for example, it's working with major automakers on their autonomous vehicle projects. And Nvidia is getting in early on another area that could deliver explosive growth in the years to come: robotics. The company has developed three computers that take a robot from the training phase to the use stage. Nvidia has even predicted that this will become the next $10 trillion industry.
All of this means Nvidia stock may still be a great place to park your $500 for a decade -- or even longer.
Should you invest $1,000 in Nvidia right now?
Before you buy stock in Nvidia, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $499,978!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,126,609!*
Now, it’s worth noting Stock Advisor’s total average return is 971% — a market-crushing outperformance compared to 195% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of December 8, 2025
Adria Cimino has positions in Amazon. The Motley Fool has positions in and recommends Amazon, Microsoft, and Nvidia. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

If You Invested $500 in Nvidia 10 Years Ago, Here's How Much You'd Have Now.

Key Points
Nvidia has taken center stage thanks to its dominance in the AI chip market.
The company has expanded its offerings in recent years, and all of its AI products and services have helped it reach record revenue levels.
Nvidia (NASDAQ: NVDA) caught investors' attention a few years ago as it emerged as a key player in artificial intelligence (AI), a technology with game-changing potential. Many invested early in this stock, betting the company's top AI chips would deliver explosive revenue growth -- and that bet was a winning one.
This tech giant's earnings have soared, reaching record levels, and the stock price advanced too -- more than 900% over three years. This is because cloud service providers and other companies have rushed to get in on the graphics processing units (GPUs) that power the most essential of AI tasks.
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Now, though, after Nvidia's massive earnings and share price gains, you may be wondering whether the company's best days are in the past. After all, competition has increased, and the AI story is advancing into its next stages. Still, the signs we're seeing suggest a lot more growth ahead for this AI superstar. In fact, Nvidia might even be the most compelling AI stock for the next decade. Here's why.
The most important AI player
Before we get to that, let's catch up on the story so far. As mentioned, Nvidia has been the most important player in the AI story, and this is thanks to a few factors. Clearly, one of them is the company's solid technology, as it's designed the most powerful GPUs and maintained this quality over several years. Another important point is that Nvidia decided to get in on this market early, giving itself a head start. This continues to benefit the company today -- since it constantly innovates, others find it difficult to leap ahead.
Finally, Nvidia hasn't stopped with the GPU, but instead has built out an entire ecosystem of products and services, and has even developed platforms to suit specific industries such as healthcare and automotive.
These elements and others have helped Nvidia reach the top -- and hold onto that position. Now, let's consider why Nvidia may also be the key AI stock to own for the next decade. And it starts with a prediction that Nvidia chief Jensen Huang made a couple of months ago and continues with a recent deal the company announced.
As much as $4 trillion in spending
Huang said that AI infrastructure spending may reach as much as $4 trillion over the coming five years. This is spending by cloud service providers and others that are building out data centers -- and the key elements needed in such centers are high-powered GPUs. Since these customers aim to win in the AI market, it's likely that they'll want to fill their data centers with the best GPUs around, and that may translate into significant sales for Nvidia. So, Nvidia is well-positioned to benefit from this infrastructure spending phase.
And once the buildout has reached later stages, Nvidia will continue to benefit because its chips aren't just used to train models -- they also are needed on an ongoing basis to power models through their problem-solving jobs.
Nvidia and Nokia
On top of this, a recent deal Nvidia announced should further expand its reach -- and revenue potential. The company has partnered with Nokia to bring AI to next-generation mobile networks. So, Nvidia, thanks to its accelerated computing platform for telecom, is on track to become a central player in telecom infrastructure -- potentially revolutionizing the market -- in the years to come.
Though, as I mentioned earlier, rivals exist, Nvidia may stay ahead due to its focus on innovation and the fact that it's been expanding the use of its technology into as many areas as possible. Of course, rivals may gain some market share, but their gains don't necessarily equal a loss for Nvidia. There is enough demand in the AI market -- and potential for new ways to use Nvidia's technology, as we see in the telecom example -- to power Nvidia's revenue strength well into the future.
And that's why Nvidia, even after its explosive growth in recent years, still might be the most compelling AI stock for the next decade.
Should you invest $1,000 in Nvidia right now?
Before you buy stock in Nvidia, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $499,978!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,126,609!*
Now, it’s worth noting Stock Advisor’s total average return is 971% — a market-crushing outperformance compared to 195% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of December 8, 2025
Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Why Nvidia Might Be the Most Compelling AI Stock for the Next Decade

The S&P 500 Index ($SPX) (SPY) on Thursday closed up by +0.21%, the Dow Jones Industrials Index ($DOWI) (DIA) closed up by +1.34%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down by -0.35%. December E-mini S&P futures (ESZ25) rose +0.23%, and December E-mini Nasdaq futures (NQZ25) fell -0.33%.
Stock indexes settled mixed on Thursday, with the S&P 500 posting a 6-week high and the Dow Jones Industrials climbing to a new all-time high. The broader market found underlying support on Thursday after bond yields moved lower amid a jump in weekly jobless claims, which is dovish for Fed policy. Also, managed healthcare stocks staged a rally on Thursday, a supportive factor for the overall market, and Visa shares surged more than +6% to boost the Dow Jones Industrial Average.
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However, the Nasdaq 100 fell to a 1-week low due to a sell-off in Oracle, which is viewed as a bellwether of the AI investment boom. Oracle tumbled more than 10% on Thursday, leading AI-infrastructure shares lower, after reporting Q2 cloud sales that missed estimates and raising its 2026 capital spending outlook by $15 billion to $50 billion. Oracle’s results reignited worries about tech valuations and whether the capital outlays on AI infrastructure will pay off.
US weekly initial unemployment claims rose by +44,000 to a 3-month high of 236,000, showing a weaker labor market than expectations of 220,000.
The US Sep trade deficit unexpectedly shrank to -$52.8 billion versus expectations of a widening to -$63.1 billion and the smallest deficit in 5.25 years.
The markets are discounting a 24% chance that the FOMC will cut the fed funds target range by 25 bp at the January 27-28 FOMC meeting.
Q3 corporate earnings season is drawing to a close as 496 of the 500 S&P companies have released results. According to Bloomberg Intelligence, 83% of reporting S&P 500 companies exceeded forecasts, on course for the best quarter since 2021. Q3 earnings rose +14.6%, more than doubling expectations of +7.2% y/y.
Overseas stock markets settled mixed on Thursday. The Euro Stoxx 50 rallied to a 4-week high and closed up +0.80%. China’s Shanghai Composite closed down -0.70%. Japan’s Nikkei Stock 225 closed down -0.90%.
Interest Rates
March 10-year T-notes (ZNH6) on Thursday closed up by +7.5 ticks. The 10-year T-note yield fell -0.6 bp to 4.141%. T-notes found support on Thursday on positive carryover from Wednesday when the FOMC cut its 2025 and 2026 US core PCE price estimates, and Fed Chair Powell said that he doesn't think a rate hike is anybody's base case for the Fed's next policy move. T-notes held their gains after weekly jobless claims unexpectedly rose to a 3-month high, a dovish factor for Fed policy. Decent demand for the Treasury’s $22 billion auction of 30-year T-bonds was also positive for T-notes as the auction had a bid-to-cover ratio of 2.36, right on the 10-auction average.
European government bond yields are moving lower today. The 10-year German bund yield fell -0.7 bp to 2.843%. The 10-year UK gilt yield fell -2.2 bp to 4.484%.
Swaps are discounting a 1% chance for a -25 bp rate cut by the ECB at its next policy meeting on December 18.
US Stock Movers
Cruise line operators moved higher on Thursday. Royal Caribbean Cruises Ltd (RCL) closed up more than +7% to lead gainers in the S&P 500. Also, Norwegian Cruise Line Holdings (NCLH) closed up more than +6%, and Carnival (CCL) closed up more than +5%
Managed healthcare stocks rallied on Thursday. Elevance Health (ELV) closed up more than +5%, and Centene (CNC) and Molina Healthcare (MOH) closed up more than +4%. Also, Humana (HUM) and Cigna Group (CI) closed up more than +3%. In addition, HCA Healthcare (HCA) and UnitedHealth Group (UNH) closed up more than +2%.
Fertilizer stocks rose on Thursday after Ukraine said its drones attacked two fertilizer plants in western Russia. Mosaic (MOS) closed up more than +6%, and Intrepid Potash (IPI) closed up more than +5%. Also, CF Industries Holdings (CF) closed up more than +2%.
Chip makers retreated on Thursday, weighing on the Nasdaq 100. ARM Holdings Plc (ARM), Intel (INTC), and Marvell Technology (MRVL) closed down more than -3%. Also, Nvidia (NVDA), Broadcom (AVGO), Applied Materials (AMAT), GlobalFoundries (GFS), and Micron Technology (MU) closed down more than -1%.
Oracle (ORCL) closed down more than -10% to lead losers in the S&P 500 after reporting Q2 adjusted revenue of $16.06 billion, below the consensus of $16.21 billion, and raising its 2026 capital spending outlook by $15 billion to $50 billion.
Oxford Industries (OXM) closed down more than -21% after cutting its 2026 adjusted EPS forecast to $2.20-$2.40 from a previous estimate of $2.80-$3.20, well below the consensus of $2.91.
Lovesac Co (LOVE) closed down more than -8% after cutting its 2026 net sales forecast to $685 million-$705 million from a previous forecast of $710 million-$740 million, weaker than the consensus of $713.7 million.
Stellantis NV (STLA) closed down more than -3% after BNP Paribas Exane downgraded the stock to underperform from neutral.
Intuitive Surgical (ISRG) closed down more than -1% after Citigroup downgraded the stock to neutral from buy.
Gemini Space Station Inc (GEMI) closed up more than +31% after the company’s application for a derivatives exchange was approved by the Commodity Futures Exchange Commission.
Ciena Corp (CIEN) closed up more than +8% after reporting Q4 revenue of $1.35 billion, better than the consensus of $1.29 billion.
Visa (V) closed up more than +6% to lead gainers in the Dow Jones Industrials after Bank of America Global Research upgraded the stock to buy from neutral with a price target of $382.
Abercrombie & Fitch (ANF) closed up more than +2% after Goldman Sachs initiated coverage on the stock with a buy recommendation and a price target of $120.
West Pharmaceutical Services (WST) closed up more than +1% after Nephron Research LLC upgraded the stock to buy from hold with a price target of $367.
Earnings Reports(12/12/2025)
Johnson Outdoors Inc (JOUT), SR Bancorp Inc (SRBK), Value Line Inc (VALU).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Most Stocks Recover from Oracle Sell-Off

Key Points
Planet Labs sales growth figures continued accelerating in the third quarter, with revenue rising 33% compared to last year.
The company landed numerous new and expanded deals during the quarter as well.
Now collaborating with Nvidia and Alphabet on different ideas, Planet Labs' future has never looked brighter.
Shares of Earth observation leader Planet Labs (NYSE: PL) rocketed 38% higher this week as of 3 p.m. ET on Thursday, according to data provided by S&P Global Market Intelligence.
The data and insights provider delivered accelerating sales growth of 33% in its third-quarter earnings report on Wednesday while delivering a third-straight quarter of positive free cash flow.
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Thanks to the company's faster growth, continued FCF generation, an array of new contracts, and a backlog that more than tripled from last year, the stock soared higher this week.
Planet Labs: Artificial intelligence -- in space
Despite the government shutdown weighing on Planet Labs' civil government business unit -- which only grew sales by 1% -- the company's defense and intelligence unit saw revenue spike by 70%.
During Q3, Planet Labs secured a:
$12.8 million award from the National Geospatial-Intelligence Agency
$13.2 million renewal from the National Reconnaissance Office
$13.5 million order from NASA
$7.5 million renewal from the U.S. Navy
seven-figure expansion from NATO
This is a boatload of incoming deals, especially compared to the total revenue of $81.3 million during Q3.
Planet Labs also successfully launched more of its next-generation satellites into space, with two Pelicans and 36 SuperDoves joining orbit. Now with five in orbit, these Pelican satellites are particularly exciting in my opinion, as they are equipped with Nvidia's Jetson AI platform.
Since Planet Labs can utilize this AI to scan for the most valuable insights and only send what is immediately relevant, the company can save immense amounts of time and money.
But its next-gen ambitions don't end there.
Planet Labs also announced a partnership with Alphabet's Google to deploy prototype satellites in 2027, equipped with the latter's Tensor Processing Units. While the feasibility of data centers in space is a hotly debated topic, it nevertheless highlights Planet Labs' growing importance after being selected by Google as a partner.
Planet Labs appears to be a promising growth stock, but at 20 times sales, interested investors should consider buying in small batches over time.
Should you invest $1,000 in Planet Labs PBC right now?
Before you buy stock in Planet Labs PBC, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Planet Labs PBC wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $499,978!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,126,609!*
Now, it’s worth noting Stock Advisor’s total average return is 971% — a market-crushing outperformance compared to 195% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of December 8, 2025
Josh Kohn-Lindquist has positions in Alphabet and Nvidia. The Motley Fool has positions in and recommends Alphabet and Nvidia. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Why Planet Labs Stock Is Skyrocketing This Week

An Anthropic IPO Could Be Here Sooner Than We Thought!

Key Points
Both AMD and Nvidia project monster data center spending by 2030.
Nvidia users have to pay a huge premium for their hardware.
The debate of AMD (NASDAQ: AMD) versus Nvidia (NASDAQ: NVDA) hardware for tasks like gaming or PCs is one that could wage forever. But the debate of Nvidia versus AMD hardware for artificial intelligence (AI) processing is a short one: Nvidia beats AMD all day long. However, that's an older notion that's beginning to shift.
AMD is starting to see real momentum in its product offering, and may start competing with Nvidia on a more level playing field in the near future. A shift in the landscape could make AMD a better investment than Nvidia for 2026.
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So, which am I picking for 2026? Let's find out.
AMD's key weakness is starting to improve
From a product offering standpoint, Nvidia has owned the data center space since the artificial intelligence (AI) buildout began in 2023. Nvidia's technology stack, plus its leading software, made it the no-brainer choice to train AI models on, but AMD has improved its offering.
Thanks to a handful of acquisitions and partnerships, AMD's ROCm software has improved to become a more competitive offering with CUDA (Nvidia's software). During its recent financial analyst day, AMD noted that ROCm downloads have increased 10x year over year, showcasing that this software may be gaining traction in the AI community.
If AMD can offer a similar level of performance to Nvidia, Nvidia may be in trouble. It's no secret that Nvidia's hardware is far more expensive than AMD's, and this shows up in the two companies' margins.
Nvidia's gross margin and net income margin are far greater than AMD's, which shows that a huge chunk of the cost of Nvidia GPUs goes to paying its profits. With a greater scrutiny on how much money AI hyperscalers are spending on their data center capital expenditures, turning to cheaper alternatives like AMD in exchange for some performance decrease may be a smart move.
As of right now, I doubt this will happen. Companies are fairly locked into the Nvidia ecosystem, and Nvidia CEO Jensen Huang noted the company was "sold out" of cloud GPUs right now. This wouldn't be the case if Nvidia were losing market share to cheaper alternatives, but this could open the door for AMD.
If potential customers are trying to obtain more computing power in a short time frame and Nvidia doesn't have the capacity, those companies may go to AMD to fulfill their needs. If those clients find that AMD's hardware is comparable, they could start moving more business from Nvidia to AMD.
We'll see if that thesis plays out, but the reality is there is plenty of room for both these companies to thrive.
The AI computing market is massive
Nvidia believes that global data center capital expenditures will rise to $3 trillion to $4 trillion by 2030, up from $600 billion in 2025. AMD is also bullish on this space and believes there will be a $1 trillion compute market by 2030. These two projections are fairly similar, as Nvidia's projections include all data center costs, while AMD's focuses on just compute.
If both companies are right on the market opportunity, there is a massive growth runway, which is why AMD told investors to expect a 60% compounded annual growth rate (CAGR) in its data center division. Nvidia likely expects a similar growth rate, making both stocks genius investments for 2026 if the 2030 projections from each company pan out.
Currently, Nvidia is the far cheaper stock, trading at 25 times next year's earnings versus 34 for AMD.
That's a significant premium that investors must pay to own AMD, which hasn't been as successful in its AI endeavors.
As a result, I think Nvidia is the better stock pick over AMD, as there are fewer expectations priced in. However, if AMD starts to deliver on its growth projections, don't be surprised if AMD outperforms Nvidia in 2026. Both companies are valid investments, and I won't be surprised when either beats the market in 2026.
Should you invest $1,000 in Nvidia right now?
Before you buy stock in Nvidia, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $499,978!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,126,609!*
Now, it’s worth noting Stock Advisor’s total average return is 971% — a market-crushing outperformance compared to 195% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of December 8, 2025
Keithen Drury has positions in Nvidia. The Motley Fool has positions in and recommends Advanced Micro Devices and Nvidia. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Better Artificial Intelligence (AI) Stock for 2026: Nvidia or AMD?

Key Points
Oracle's debt is rising as cash flies out the door to fund AI data centers.
The company already has a debt-heavy balance sheet, and it will need to borrow more to fund its AI infrastructure contracts.
Investors have soured on the stock as debt concerns intensify.
Tech giant Oracle (NYSE: ORCL) has racked up remaining performance obligations, which represent future revenue expected to be generated from signed contracts, totaling $523 billion. The company added $68 billion to the backlog in the second quarter of fiscal 2026 alone, signing new deals for AI infrastructure with Meta Platforms, Nvidia, and other customers.
Oracle's deals to provide AI infrastructure require the company to build expensive data centers filled with powerful GPUs before any revenue is recognized. Oracle entered the AI boom with a debt-heavy balance sheet, and the situation is worsening as the company borrows to fuel its AI ambitions.
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Burning cash and piling up debt
For the six-month period ending Nov. 30, Oracle generated $10.2 billion in operating cash flow and used $20.5 billion for capital expenditures. That works out to a negative free cash flow of $10.3 billion. Capital spending more than tripled year-over-year during the period as Oracle plowed ahead with its capital-intensive AI strategy.
Oracle has spent years piling up debt to fund share buybacks, which raises the risk level of adding even more debt to the balance sheet. Thanks to heavy spending on AI infrastructure, Oracle ended the second quarter with about $108 billion in debt. That's up from $92.6 billion in May. The company completed an $18 billion bond sale in September.
Oracle stock was tumbling on Thursday following the release of its second-quarter report. If the company can successfully convert its AI infrastructure backlog into revenue over the next few years, its revenue growth is expected to accelerate dramatically. However, the upfront cost is enormous. Additionally, there's a risk related to OpenAI, which reportedly has a $300 billion AI infrastructure contract with Oracle. If OpenAI struggles to raise sufficient funding or generate enough revenue as competition intensifies, Oracle could be left holding the bag.
How high will Oracle's debt go?
Analysts at KeyBanc Capital Markets estimated in September that Oracle may need to add $100 billion in debt over the next four years to fund its OpenAI contract. Oracle management addressed this concern during theearnings call with co-CEO Clay Magouyrk saying that "based on what we see right now, we expect we will need less if not substantially less, you know, money raised than that amount."
Oracle has a few tools at its disposal, including deals where customers bring their own chips. The company could also work with private equity firms or other third parties, similar to a deal Intel struck with Brookfield Infrastructure Partners to fund its Arizona semiconductor fab. Magouyrk insisted during theearnings callthat Oracle was committed to maintaining its investment-grade debt rating.
While the jury's still out on how much debt Oracle will need to fulfill its contracts, investors have been registering their opinions in recent weeks by sending the stock tumbling. Oracle's AI growth story is falling on deaf ears, and it's hard to say what it will take to shift sentiment in a positive direction.
Should you invest $1,000 in Oracle right now?
Before you buy stock in Oracle, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Oracle wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $499,978!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,126,609!*
Now, it’s worth noting Stock Advisor’s total average return is 971% — a market-crushing outperformance compared to 195% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of December 8, 2025
Timothy Green has positions in Intel. The Motley Fool has positions in and recommends Intel, Meta Platforms, Nvidia, and Oracle. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Oracle's Debt Balloons to $108 Billion as AI Spending Soars

Riding the artificial intelligence (AI) wave, NVIDIA Corporation NVDA has seen its shares increase by 36.8% this year, while a smaller AI competitor, BigBear.ai Holdings, Inc. BBAI, surged 48.5%. But does this suggest that BigBear.ai will continue to outperform NVIDIA next year, or is there more to consider? Let’s evaluate their growth potential.
Reasons to Be Bullish on NVIDIA
NVIDIA has forecasted that data center capital expenditures worldwide will reach $3 trillion to $4 trillion annually by 2030. If this occurs, it will create numerous opportunities for the Jensen Huang-led company to sell its popular computing hardware. In the short term, however, the Trump administration’s approval to ship H200 AI chips to “approved customers” in China is expected to boost NVIDIA’s sales.
Unrelenting demand for NVIDIA’s cloud graphics processing units (GPUs) and cutting-edge Blackwell chips helped drive the company’s fiscal third-quarter 2026 revenues up 62% year over year and 22% sequentially to $57 billion, according to investor.nvidia.com. Both data center and gaming revenues grew for the quarter, and the company now expects fiscal fourth-quarter 2026 revenues to reach about $65 billion, plus or minus 2%.
NVIDIA is positioned for growth thanks to its competitive moat in the AI hardware market, along with strong financial health, having returned $37 billion to its shareholders through cash dividends and share buybacks (see more: SoundHound Vs. NVIDIA: Which AI Stock Should You Buy Before 2026?).
Reasons to Be Bullish on BigBear.ai
The Trump administration’s initiatives to reduce federal spending did not bode well for BigBear.ai. The resulting funding cuts led to a 20% decline in third-quarter revenues, which totaled $33.1 million. The company also reported second-quarter revenues of $32.5 million, down 18% from the prior-year quarter.
However, prospects are looking up for BigBear.ai’s revenue growth after a definitive deal to acquire Ask Sage for $250 million. Ask Sage is a rapidly expanding generative AI platform built for highly regulated sectors, including defense and national security. Currently, Ask Sage supports 100,000 users across 16,000 government teams.
Kevin McAleenan, CEO of BigBear.ai, stated that “by integrating Ask Sage with BigBear.ai, we are creating what the market has been asking for: a secure, integrated AI platform that connects software, data, and mission services in one place,” citing ir.bigbear.ai. Relying on the Ask Sage acquisition to drive revenue growth, BigBear.ai maintains its full-year sales guidance between $125 million and $140 million.
Furthermore, BigBear.ai’s strong cash position of $456.6 million as of Sept. 30, 2025, provides the necessary funding for scaling operations. A potential increase in government spending next year under Trump’s “big, beautiful bill” could further support revenue growth.
Which AI Stock Has a Bigger Upside in 2026: NVIDIA or BigBear.ai?
As the new year begins, it’s clear that NVIDIA is well-positioned for robust growth in the AI sector, fueled by high demand for its chips, a competitive edge, and solid financials. Similarly, BigBear.ai is set for growth, relying on its Ask Sage acquisition, strong financials, and the possibility of increased government spending.
However, unlike NVIDIA, BigBear.ai’s upside may be limited due to its lack of profitability. The company reported a net income of $2.5 million for the third quarter, but this was due to non-cash adjustments, not higher sales. Brokers also estimate the average short-term price target for BBAI stock at $6.67, a slight decline of 0.6% from the last closing price of $6.71.
Image Source: Zacks Investment Research
On the other hand, brokers are optimistic about NVIDIA’s future growth. They project the average short-term price target for NVDA stock at $252.67, reflecting a 36.6% increase from the last closing price of $184.97.
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At the moment, NVIDIA has a Zacks Rank #1 (Strong Buy), while BigBear.ai has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.
Zacks Naming Top 10 Stocks for 2026
Want to be tipped off early to our 10 top picks for the entirety of 2026? History suggests their performance could be sensational.
From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2025, the Zacks Top 10 Stocks gained +2,530.8%, more than QUADRUPLING the S&P 500’s +570.3%.
Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2026. Don’t miss your chance to get in on these stocks when they’re released on January 5.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

NVIDIA or BigBear.ai: Which AI Stock Has Bigger Upside in 2026?

Emerging-market (EM) economies today present a compelling alternative to developed markets, and recent data offers a fresh lens. Going by the International Monetary Fund’s (IMF) October 2025 update, emerging and developing economies are forecast to grow 4.2% in 2025. This is significantly higher than the 1.6% expected growth in real GDP for advanced economies.
The collective output of EM now accounts for 50.6% of global GDP in 2025 and 66.5% of global GDP growth in the past 10 years (World Economics).
This macro strength is reflected in equity markets. According to a 2025 analysis by J.P. Morgan Asset Management, 2025 marks the first year since 2020 in which emerging-market equities have outperformed developed-market equities, driven by improving economic conditions, a softer U.S. dollar and a global macro backdrop favorable to EMs.
Added to this, currently, emerging-market equities are trading at a significant valuation discount. According to RBC Global Asset Management, EM stocks are priced at roughly a 35% discount to developed-market equities on forward price-to-earnings metrics, the largest discount in the last 15 years. J.P. Morgan adds that improving earnings momentum across emerging markets in 2024 and 2025 strengthens the case for a potential valuation re-rating as profitability recovers.
Below, we have discussed three well-positioned EM stocks, such as ICICI Bank IBN in financial services, Taiwan Semiconductor TSM or TSMC in manufacturing and MercadoLibre MELI in e-commerce. These are seen as key beneficiaries of the structural tailwinds and are widely expected to enter 2026 with strong growth momentum.
Sectors in Focus
Easing monetary policies across several developing nations with lower global interest rates are creating easier financing conditions across many EMs, enabling banks to expand credit at healthier margins. As inflation moderates and currencies stabilize in key EM economies, lenders face reduced funding volatility and lower credit-risk pressure, which support stronger return on equity. This has already translated into rising loan demand from households and small businesses, particularly in regions where rate-cut cycles began earlier than in developed markets. Going by multiple sources from recent times, from 2024 till mid-2025, year-over-year bank credit growth in several emerging economies, including India, the Philippines, and Vietnam, rose in double digits as domestic credit expanded.
This apart, global supply-chain diversification is driving a measurable rise in manufacturing activity across emerging markets. India, for example, attracted $19.04 billion in manufacturing FDI in the 2024-25 fiscal, supported by government incentives and expanding industrial parks (India Briefing). Vietnam and Indonesia are also capturing new production as multinational firms shift operations out of single-country hubs. India’s electronics output illustrates this shift. Mobile phone exports surged to $20.5 billion in 2024, up from near zero in 2016.
Our Picks
ICICI Bank: Headquartered in Mumbai, India, ICICI Bank is making commendable progress in improving digital banking services for retail and corporate clients. The company has been striving to provide superior end-to-end seamless digital services, personalized solutions and value-added features to enable data-driven cross-sell and up-sell opportunities. The increasing adoption of the bank’s mobile banking app – iMobile Pay – is helping garner a solid market share. Apart from this, the company’s digital platform for businesses has witnessed tremendous growth in the past few quarters.
For fiscal 2027 (ending March 2027), this Zacks Rank #2 (Buy) stock is expected to report earnings growth of 13.9% on 13.1% revenue growth. Its long-term historical earnings growth of 32.2% significantly outperforms the industry’s 9.3% growth. Meanwhile, the stock’s forward 12-month price/earnings (P/E) ratio of 17.25 is far below the S&P 500’s 23.44.
Image Source: Zacks Investment Research
Taiwan Semiconductor: The company continues to dominate the semiconductor foundry space. TSMC is known for its advanced production capabilities and has already moved into 3nm production, with 2nm coming soon. Its large scale allows it to handle rising AI chip demand better than most competitors. The company has established itself as the preferred manufacturing partner for AI accelerators, including GPUs and custom silicon developed by major players like NVIDIA NVDA, Marvell Technology and Broadcom.
For 2026, this Zacks Rank #2 stock is expected to report earnings growth of 20.2% on 20.6% revenue growth. Its long-term expected earnings growth of 28.7% significantly outperforms the S&P 500’s 10.1% growth. Meanwhile, the stock’s forward 12-month price/earnings (P/E) ratio of 25.72 is below the sector’s 29.09.
Image Source: Zacks Investment Research
MercadoLibre: Buenos Aires, Argentina-based MercadoLibre's leadership across e-commerce and digital banking sectors gives it exposure to two of the region's fastest-growing secular themes, online retail and financial inclusion. Its balance of scale, technology and local execution position it to compound value through market expansion rather than price competition. The 39% revenue growth and 41% total payment volume expansion in the third quarter of 2025 reaffirm that demand remains early-cycle. With infrastructure and trust already built, MercadoLibre's addressable market continues to expand faster than its global peers.
In 2026, this Zacks Rank #3 (Hold) stock is expected to report earnings growth of 50.3% on 28.5% revenue growth. Its long-term expected earnings growth of 34.6% significantly outperforms the industry’s 18.1% growth. The stock’s forward 12-month price/sales (P/S) ratio of 2.75 is below the S&P 500’s 5.3. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Image Source: Zacks Investment Research
Zacks Naming Top 10 Stocks for 2026
Want to be tipped off early to our 10 top picks for the entirety of 2026? History suggests their performance could be sensational.
From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2025, the Zacks Top 10 Stocks gained +2,530.8%, more than QUADRUPLING the S&P 500’s +570.3%.
Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2026. Don’t miss your chance to get in on these stocks when they’re released on January 5.
Be First to New Top 10 Stocks >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Emerging Markets to Outperform: 3 Stocks for 2026 Growth & Value

Key Points
Alphabet has been on a winning streak, delivering revenue growth and stock price performance in recent weeks.
A court ruling also represented good news for the company and its shareholders.
Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL), like other tech stocks, traveled through difficult times and better times this year. The stock slipped this spring amid concern about the impact of U.S. import tariffs on corporate earnings. But as President Donald Trump negotiated with other countries, this pressure eased.
The company also faced the challenge of an antitrust suit in the U.S., but a ruling in September averted the worst-case scenario -- and this decision offered Alphabet a significant boost. Since, the stock has gained nearly 50%, and just recently, Alphabet did something it hasn't done in seven years. Is it time to buy this top tech stock? Let's find out.
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First, though, let's catch up on the Alphabet story so far. This is the company behind something you may use and rely on every day: I'm talking about Google Search, the world's most popular search engine. It's steadily held onto about 90% share of the market. Google, through advertising across its platform, fuels Alphabet's revenue growth, but this isn't the only revenue driver.
Alphabet also is the owner of Google Cloud, one of the world's major cloud service providers, and that business is growing in the double digits.
On top of this, Alphabet's investment in artificial intelligence (AI) is helping the company improve its business -- for example, streamlining the advertising experience. Alphabet has developed its own large language model, Gemini, to apply to its own needs and offer to clients through Google Cloud. The cloud provider also offers many AI products and services, from chips to a fully managed service for the development of generative AI, and this has fueled growth in recent quarters.
In the latest quarter, for example, Alphabet said demand for AI infrastructure and generative AI powered a 34% gain in cloud revenue.
The elimination of a big risk
The major weight on all of this was the U.S. antitrust suit -- the risk was a potential breakup of revenue-driver Google. That risk was eliminated when a federal judge decided that Alphabet could maintain its ownership of its Google Chrome browser, and the company now faces lesser penalties.
All of this, along with a reasonable valuation, has helped boost Alphabet shares in recent months -- and help the company do something it hasn't done in seven years. On Nov. 21, Alphabet's market value soared past that of software giant Microsoft for the first time since 2018. Back then, both companies' market capitalizations were about $800 billion -- now, they've surpassed $3 trillion.
Alphabet has maintained its market cap gain, and now at $3.8 trillion, it's the biggest company after Nvidia and Apple.
Now, let's return to our question: Does this make Alphabet a stock to buy? It's key to keep in mind that a high market cap doesn't automatically translate into a buying opportunity. A company may have reached such a level but could now be overvalued or face new headwinds -- or it may not be the right fit for your portfolio.
Why a high market cap may be positive
Of course, recent gains in market cap might be positive -- they could be the result of good news that prompted investors to pile into the stock. And maintaining a high market cap over time shows sustained demand for the shares.
But, before investing, it's most important to consider a company's earnings track record, financial health, and future prospects -- and also take a look at valuation. In the case of Alphabet, there's reason to be optimistic about all of these points. The company has delivered growth in revenue and profit over time, the AI opportunity is in its early days so could spark significant growth in the quarters to come, and today, Alphabet still is reasonably priced -- it trades for 30x forward earnings estimates, which is lower than many of its AI peers.
All of this makes this stock that's roared past Microsoft a fantastic buy right now.
Should you invest $1,000 in Alphabet right now?
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Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Apple, Microsoft, and Nvidia. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

NVIDIA Corporation

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