Illustration for: Nvidia Shares Fluctuate After Strong Earnings; OpenAI Deal Status Questioned
AI-generated illustration. Visual interpretation does not represent real individuals or scenes.

Nvidia Shares Fluctuate After Strong Earnings; OpenAI Deal Status Questioned

2025-11-20

The BareStory

Nvidia's stock experienced significant volatility on Thursday, rising by as much as 5% before reversing its gains to turn negative. The movement followed the release of the company's third-quarter results on Wednesday, which showed revenue increasing 62% year-on-year to $57.01 billion, surpassing forecasts. The chipmaker also issued a stronger-than-expected sales guidance for the fourth quarter.

The report fueled a wider market debate about artificial intelligence investments. On an investor call, Nvidia CEO Jensen Huang stated that the company's view of the AI sector is "very different from the talk of an 'AI bubble'." In contrast, Bridgewater founder Ray Dalio said on Thursday that the market is "definitely in a bubble" fueled by AI spending. Dalio claimed that such conditions historically lead to low returns over the next decade and advised investors to diversify, though he also stated a trigger would be needed to pop the bubble.

In a quarterly financial filing, Nvidia stated there is "no assurance" that a definitive agreement will be finalized with OpenAI. The disclosure concerns a previously announced potential $100 billion investment partnership to support OpenAI's AI supercomputing facilities. During the earnings call, Nvidia executives framed the relationship positively, with CFO Colette Kress saying the companies are "working on a strategic partnership." An OpenAI spokesperson reportedly directed attention to the Nvidia CEO's remarks on the call.

The status of the Nvidia deal differs from a pact OpenAI finalized with competitor Advanced Micro Devices (AMD). Last month, OpenAI signed an agreement to deploy AMD’s GPUs and was issued a warrant for up to 160 million shares of AMD common stock. Nvidia has also announced other partnerships, including a $5 billion commitment to Intel and an agreement to invest up to $10 billion in Anthropic.

Left Perspective

  • The company has demonstrated exceptional financial growth.
  • Company leadership is confident in the AI sector's stability.
  • The strategic partnership with OpenAI is being actively developed.

Right Perspective

  • Prominent investors have warned of a market bubble.
  • The major OpenAI deal remains officially uncertain.
  • The stock showed volatility and key partners are working with rivals.

How it may affect me

As a U.S. reader:

• Your investment portfolio or retirement savings could see volatility, as experts disagree on whether the AI market is a bubble that may lead to low future returns.

• The uncertain status of a major partnership between Nvidia and OpenAI may affect the future development and availability of advanced AI products and services for the public.

• Competition between chipmakers like Nvidia and AMD to partner with AI firms may influence the variety and cost of future AI-powered products available to consumers.

Read the story at