Nvidia shares were initially up after an earnings report that included raised revenue guidance for the next quarter. But shares closed 3% lower.

Another analyst agreed. Thomas Monteiro, a senior analyst at Investing.com, said Nvidia’s data demonstrates the AI era is “nowhere near its peak.”

Analysts say Nvidia's blockbuster earnings show the AI boom is still accelerating and that fears of an AI bubble are overstated.

Prosecutors have accused Brian Raymond, founder of AI infrastructure and consulting company Bitworks, and three others of selling coveted Nvidia chips to unspecified Chinese companies.

The numbers couldn’t have come at a better time for Nvidia’s new infrastructure partners Brookfield and the Kuwait Investment Authority, which this week unveiled plans to amass a $100 billion portfolio of physical assets that underpin the delivery of AI, including AI factories, power stations and data centers.

Nvidia has soothed worries about AI demand for now, and dispelled fears of a bubble bursting. Investors piled into tech and AI names after its Q3 results.

Nvidia CEO Jensen Huang is urging the U.S. and China to improve trade relations, arguing that access to the Chinese market is essential for American competitiveness in artificial intelligence (AI).

Nvidia’s third-quarter earnings beat initially alleviated AI-bubble fears, but tech stocks slipped as markets digested economic data.