AI capital expenditures are approaching $1 trillion a year, driving record results at Nvidia and Micron but raising investor doubts about how sustainable the spending is. Nvidia reported $96.2 billion in revenue for its fiscal 2027 second quarter, with $89 billion from its data center business, so its growth is closely tied to the AI infrastructure budgets of the biggest tech companies. Micron benefits from strong high bandwidth memory demand, reporting fiscal 2026 fourth-quarter revenue of $54.2 billion and $133.2 billion for the full year, but memory is cyclical and an oversupply could push prices down. The article concludes that both companies could be reassessed if AI spending slows, with Nvidia having more to lose.
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AI investmentNVDAMicronsemiconductorsearnings
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NVDA
• NeutralNvidia
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.1T |
| Close on 10/28/2026 | 215.39 |
| Change that session | -1.17% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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