Nvidia’s third-quarter earnings report sent its stock price on a wild ride on Thursday, as investors digested the chipmaker’s impressive results. Despite beating expectations on both revenue and earnings per share, Nvidia’s shares fluctuated throughout the day, ultimately ending down 1.5% in late-morning trading.

The company’s revenue soared 94% year-over-year to $35.08 billion, exceeding the $33.16 billion forecast by LSEG analysts. Adjusted earnings per share came in at 81 cents, also above expectations. The strong results were driven by Nvidia’s dominance in the high-powered chip market, which is fueling the development of advanced artificial intelligence models like OpenAI’s ChatGPT.

However, investors’ high expectations for Nvidia’s performance may have contributed to the stock’s volatility. As one analyst noted, investors now expect “insane” GPU demand as the “bare minimum” from Nvidia each quarter. This sets a high bar for the company to continue delivering strong results.

The broader semiconductor space was also affected by Nvidia’s earnings report, with AMD dropping about 1% and Qualcomm and Intel rising 1% and 1.2%, respectively. Nvidia’s strong performance is a testament to its leadership in the AI chip market, and investors will be watching closely to see if the company can sustain its momentum in the coming quarters.

Overall, Nvidia’s third-quarter earnings report was a mixed bag, with the company’s strong results tempered by investors’ high expectations. As the chipmaker continues to navigate the rapidly evolving AI landscape, its stock price is likely to remain volatile in the short term.

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