As the man at the helm of chip giant Nvidia (NVDA), CEO and founder Jensen Huang’s presence is sought after globally. After a sojourn to the Middle East with President Donald Trump, Huang has set his sights on Europe. Following a spate of announcements, including partnerships and investments in the United Kingdom, the Nvidia CEO will soon visit France.

Set to deliver the keynote address at NVIDIA GTC Paris on Wednesday, June 11, Huang’s speech will be livestreamed globally. The upcoming event will center on in-depth conversations about Nvidia’s Blackwell platform, initiatives around sovereign AI, and emerging partnerships across various regions. It aims to highlight the ways European technology leaders are transforming their AI aspirations into concrete infrastructure, with active backing from Nvidia.

Jostling with Microsoft (MSFT) to become the most valuable company in the world by market capitalization, the GTC Paris and the developments surrounding it can act as a further enabler of the Nvidia stock price, which has recovered remarkably over the past month, with a 22% rally.

Fundamentally Robust

Over the past 10 years, Nvidia’s revenue and earnings have grown at scarcely believable compound annual growth rates (CAGRs) of 41.15% and 61.71%, respectively.

Additionally, Nvidia’s streak of outpacing revenue and earnings expectations remains one of the most sustained in corporate history. It was no exception in the most recent quarter. For Q1 of its fiscal 2026, Nvidia posted total revenues of $44.1 billion, reflecting a 69% increase compared to the same period last year. This was an impressive achievement given its substantial market size. The data center segment remained the company’s primary revenue driver, contributing $39.1 billion, which represented a 73% rise from a year earlier.

Profitability also exceeded expectations, with earnings per share reaching $0.81, surpassing the consensus projection of $0.75. Looking ahead to the next quarter, analysts are projecting EPS of $0.94 on revenues of approximately $45.59 billion.

Although gross margins declined year-over-year to 61% from the prior year’s 78.9%, Nvidia continues to maintain a commanding position in the GPU market with a 92% share, helping ease fears about intensifying competition. Management remains committed to its goal of returning gross margins to the mid-70% range by the end of the year.

In terms of cash flow, Nvidia reported net cash from operating activities of $27.4 billion in Q1 2026, a substantial year-over-year increase of 79.1%. The company ended the quarter with a robust cash position of $53.7 billion and carries no short-term debt, underscoring its strong liquidity.

In turn, analysts project Nvidia’s forward revenue and earnings growth rates at 60.04% and 64.95%, respectively, figures that stand well above the sector averages of 6.96% and 11.02%.

Growth Drivers for Nvidia

As investors anticipate Nvidia’s GTC Paris, it is an opportune time to reflect on what were the key points of Huang’s GTC 2025 address.

Starting off with the market opportunity, the company said, “We’re at a $1 trillion computing inflection point. AI computing demand is accelerating rapidly, driven by the rise of reasoning AI and agentic AI. The scale and complexity of AI workloads are transforming data center investments worldwide.”

The other highlight was the Nvidia CEO’s bullishness about physical AI, about which he said this, “Physical AI for industrial and robotics is a $50 trillion opportunity. AI-powered robotics and automation are set to transform manufacturing, logistics, healthcare and other industries, with the Nvidia Isaac and Cosmos platforms leading the way.”

Setting the tone, Huang also gave an insight into Nvidia’s GPU progress, commenting, “Nvidia Blackwell is in full production, delivering 40x the performance of Hopper. The Blackwell architecture significantly enhances AI model training and inference, enabling more efficient and scalable AI applications. And the next evolution of the Nvidia Blackwell AI factory platform, Blackwell Ultra, will be coming to systems in the second half of this year.”

Speaking of Blackwell, the architecture has also secured a roster of high-profile clients, which is critical for driving its broader adoption. Since March of last year, Microsoft (MSFT) has emerged as a key partner, contributing meaningfully to Nvidia’s revenue growth through heightened demand for its AI chips, including the H100 and H200, alongside the integration of Blackwell within Microsoft’s Azure ND GB200 V6 infrastructure. Looking ahead, as mentioned above, Nvidia is preparing to roll out the Blackwell Ultra GPUs later this year, which are expected to unlock revenue potential up to 50 times greater than that of the Hopper architecture in the data center segment.

Meanwhile, Nvidia’s software ecosystem, anchored by CUDA, continues to represent its most formidable competitive edge. With a global developer community now exceeding 4 million, this ecosystem benefits from an array of open-source frameworks. These tools not only streamline AI deployment on Nvidia’s hardware, but also strengthen customer loyalty through switching costs supported by long-term scalability.

In addition to software, Nvidia is leaving no stone unturned on hardware innovation. The recent introduction of the next-generation Blackwell NVL72 AI supercomputer, coupled with strong manufacturing commitments from leading OEMs and cloud providers, underscores sustained demand for Nvidia’s cutting-edge hardware. Moreover, adoption of the Grace CPU and Grace-Hopper superchips continues to gain traction across the data center landscape. The newly announced Grace Blackwell DGX Station further highlights the seamless integration of Nvidia’s hardware portfolio, reinforcing the leadership position of its product lineup in the market.

What Analysts Are Saying About NVDA Stock 

Analysts have attributed a rating of “Strong Buy” for NVDA stock, with a mean target price of $173.88. This indicates upside potential of about 21.9% from current levels. Out of 44 analysts covering the stock, 37 have a “Strong Buy” rating, three have a “Moderate Buy” rating, three have a “Hold” rating, and one has a “Strong Sell” rating.