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Nvidia Crushes Q2, Guides Q3 to $108B — Daily Fintech News, August 26, 2026

Wednesday, August 26, 2026 · 7:06 PM ET

Video recap

Earnings · Nvidia

1.Nvidia Crushes Q2, Guides Q3 to $108B

Nvidia reported Q2'27 revenue of $96.2B, beating $92.2B estimates and up 106% YoY, with adjusted EPS of $2.22 versus $2.10 expected (up 120% YoY). Data Center revenue hit $89.0B, above the $85.8B estimate, and adjusted gross margin was 75.0%. Nvidia guided Q3 revenue to $108.0B ± 2%, ahead of the $104.2B estimate, generated $21.3B of free cash flow, and returned roughly $26.0B to shareholders. Its outlook assumes no Data Center compute revenue from China.

$NVDA
$NVDA Close$209.66-1.59% Live$209.66-0.00%
1Y +15.5% Rev YoY +85.2% EPS YoY +214.5% 52wk $164.07–$236.54 P/E 32.6 Mkt Cap $5.08T

Macro · GDP

2.U.S. GDP In Line at 1.5%, PCE Runs a Touch Hot

U.S. GDP came in at 1.5% QoQ, matching estimates. PCE rose 0.2% MoM (vs 0.1% expected) and 3.7% YoY, while Core PCE was in line at 0.2% MoM and 3.3% YoY. Consumer spending increased 0.2% MoM and personal income rose 0.4% MoM, both above expectations, while real personal consumption was flat at 0.0% MoM.

Legal · Meta

3.Meta Reaches $18B Youth-Safety Settlement With States

Meta agreed to an $18B youth-safety commitment as part of its settlement with U.S. states, including $2.2B payable to California. Meta will spend the money over 10 years on youth online-safety initiatives and add protections for under-18 users — limiting social-media use to 2 hours per day and blocking access from 12 a.m. to 6 a.m. — monitored by an independent auditor for 5 years. Meta will accrue about $10B in legal expenses in Q3 2026 but says its July guidance is unchanged.

$META
$META Close$576.14+1.07% Live$576.14-0.00%
1Y -22.9% Rev YoY +28.0% EPS YoY -13.4% 52wk $520.26–$790.80 P/E 21.5 Mkt Cap $1.47T

Macro · South Korea

4.Bank of Korea Hikes to 3.00%, Lifts Growth Outlook

The Bank of Korea raised rates by 25 bps to 3.00%, marking its second straight hike and the first back-to-back increases since the COVID era. The central bank also lifted its 2026 GDP growth forecast to 3.3% from 2.6%, signaling stronger confidence in the economy even as it tightens policy.

M&A · Nvidia

5.Nvidia to Acquire Hugging Face for $12.9B

Nvidia has agreed to acquire Hugging Face for $12.9B, according to The Information. The deal would give Nvidia a much deeper foothold in the open-source AI ecosystem, where Hugging Face has become a main distribution layer for models, datasets, and developer workflows. The likely goal is controlling more of the software layer around AI adoption — GPUs, networking, CUDA, inference infrastructure, and now a major platform where developers build and deploy models — as the market shifts from training to inference.

$NVDA
$NVDA Close$209.66-1.59% Live$209.66-0.00%
1Y +15.5% Rev YoY +85.2% EPS YoY +214.5% 52wk $164.07–$236.54 P/E 32.6 Mkt Cap $5.08T

Macro · Housing

6.New Home Sales Plunge 10.5% to 6-Month Low

U.S. new home sales fell 10.5% MoM in July to 607,000 units — the lowest in 6 months and far worse than the 1.4% decline expected. Sales have now dropped in 3 of the last 4 months and are down 6.3% YoY, with the Midwest plunging 42.7% MoM to its lowest since 2012 and the South falling 13.0%. The weakness comes as the 30-year mortgage rate hit 6.81%, its highest since August 2025.

Macro · Iran

7.IRGC Says Hormuz Stays Shut Without U.S. Concessions

An IRGC spokesperson said the Strait of Hormuz will not reopen unless the U.S. accepts Iran's conditions — reportedly including foreign warships staying at least 400 km away and no vessel transiting without Iran's permission. The IRGC also said Iran and Oman have agreed to share revenue from shipping through the Strait, adding another layer of geopolitical and energy-market risk around one of the world's most important chokepoints.

Earnings · CrowdStrike

8.CrowdStrike Beats, Posts Record Net New ARR

CrowdStrike reported Q2'27 revenue of $1.47B, beating $1.44B estimates and up 26% YoY, with adjusted EPS of $0.31 versus $0.29 expected. Net new ARR hit a record $333M (up 51% YoY), bringing total ARR to $5.84B, and free cash flow reached $377.4M. CrowdStrike raised FY27 guidance across revenue, EPS, and ARR; management called it the best quarter in company history, and the stock was up 10% after hours.

$CRWD
$CRWD Close$189.18+2.05% Live$189.18+0.00%
1Y +79.1% Rev YoY +25.6% EPS YoY — 52wk $85.68–$227.50 P/E — Mkt Cap $192.63B

Options Flow

9.Most Active Options Today

The top 10 most active options today by contracts traded were $TSLA with 2.7M contracts, $NVDA with 2.5M, $META with 1.7M, $AAPL with 1.4M, $INTC with 742K, $AMZN with 695K, $SPCX with 603K, $MU with 595K, $MSFT with 579K, and $AMD with 404K.

$TSLA$NVDA$META$AAPL$INTC$AMZN$SPCX$MU$MSFT$AMD

AI · Nvidia

10.Nvidia CFO Sees ~70% Revenue Growth in FY28

Nvidia's CFO said revenue is expected to grow approximately 70% in FY28 even with a supply-constrained outlook, with Vera CPU now in full production and CPU revenue set to more than double against roughly $20B of total server-CPU demand. The CFO said cloud-industry backlog now exceeds $2T, with top-five hyperscaler capex reaching nearly $800B in 2026 and $1.3T in 2027. Addressing "circular financing," Nvidia said it has invested nearly $50B in frontier AI labs and expects lab demand supported by its balance sheet to contribute roughly 25% of the business next year.

$NVDA
$NVDA Close$209.66-1.59% Live$209.66-0.00%
1Y +15.5% Rev YoY +85.2% EPS YoY +214.5% 52wk $164.07–$236.54 P/E 32.6 Mkt Cap $5.08T

AI · Google

11.Google Hires Thinking Machines Co-Founder for Gemini

Google has reportedly hired Barret Zoph, co-founder and former CTO of Thinking Machines Lab, as VP of Research to work on Gemini, bringing expertise in reinforcement learning and post-training, per WSJ. Separately, SoftBank is in talks to acquire a majority stake in OpenAI-backed humanoid maker 1X at roughly a $6B valuation. 1X says it received more than 10,000 pre-orders for its $20,000 NEO humanoid in the first week, with deliveries planned for 2026.

$GOOGL
$GOOGL Close$342.00-1.43% Live$342.00+0.00%
1Y +64.8% Rev YoY +24.2% EPS YoY +294.0% 52wk $205.65–$408.61 P/E 17.4 Mkt Cap $4.18T

AI · Amazon

12.AWS and Nvidia Expand Partnership With 2M More GPUs

AWS and Nvidia announced a major expansion of their strategic AI-infrastructure partnership, building on 16 years of joint work. As part of the expanded collaboration, AWS will deploy 2 million additional Nvidia GPUs across its global infrastructure in 2027–2028. The companies said they are deepening work across AI factories, CPUs, networking, open models, data processing, and robotics, giving customers more ways to build and deploy AI at scale.

$AMZN$NVDA
$AMZN Close$260.28-0.30% Live$260.28+0.00%
1Y +13.6% Rev YoY +19.6% EPS YoY +242.3% 52wk $196.00–$287.20 P/E 20.9 Mkt Cap $2.81T

AI Funding · The Information

13.Four-Month-Old AI Startup Instinct Raises at $2.5B

Instinct, an AI assistant startup that launched its product only about four months ago, has raised new funding at a $2.5 billion valuation. The company has drawn significant buzz in Silicon Valley despite its short track record, underscoring continued investor appetite for consumer-facing AI assistants.

AI · WSJ

14.OpenAI Is the Sole Investor in Its $400M Venture Fund

OpenAI is the sole investor in its latest venture fund, dedicating about $400 million to backing early-stage AI companies. The move expands the ChatGPT maker's footprint as a direct investor across the AI startup ecosystem rather than relying on outside limited partners.

Semiconductors · Bloomberg

15.Kioxia to Build New Japan Fab for AI Memory Demand

Kioxia Holdings is building a new chipmaking plant in northern Japan, ratcheting up capacity as AI-related demand for storage climbs. The Tokyo-based NAND flash-memory maker will construct a third facility at its Iwate site to produce high-density 3D flash chips designed for the massive workloads generated by AI services.

Markets · Bloomberg

16.Zoom's Anthropic Stake Swells to $3.1B

The value of Zoom Communications' stake in AI startup Anthropic has grown to $3.13 billion, with the videoconferencing company booking a $1.61 billion gain on the holding in the three months ending in July, per a filing. The mark-up highlights how Anthropic's soaring private valuation is flowing through to the balance sheets of its earlier corporate backers.

$ZM
$ZM Close$93.83-7.03% Live$93.83-0.00%
1Y +15.9% Rev YoY +5.5% EPS YoY +74.2% 52wk $70.70–$114.74 P/E 9.4 Mkt Cap $27.51B

AI · WSJ

17.Google Moves AI-Responsibility Team Out of DeepMind

Google is moving its AI-responsibility team out of its DeepMind lab in the latest internal shake-up, per WSJ. Researchers have raised concerns about the change's effect on their independence and their ability to detect threats from the company's newest models.

$GOOGL
$GOOGL Close$342.00-1.43% Live$342.00+0.00%
1Y +64.8% Rev YoY +24.2% EPS YoY +294.0% 52wk $205.65–$408.61 P/E 17.4 Mkt Cap $4.18T

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