Nvidia stock gains as $13 billion Hugging Face deal and explosive AI growth reshape its outlook
Published on 09/04/2026 at 19:25 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS
Nvidia (ISIN US67066G1040) stock is trading firmly higher after the company agreed to acquire AI developer platform Hugging Face for nearly USD 13 billion and reported fiscal second quarter revenue of about USD 96.2 billion, more than double a year earlier, according to coverage dated September 4, 2026.
Hugging Face acquisition deepens Nvidia's AI moat
According to a Reuters news transcript published on September 4, 2026, Nvidia will buy AI developer platform Hugging Face for nearly USD 13 billion in one of the largest acquisitions in its history.
The deal gives Nvidia direct access to a huge community of AI developers and strengthens its position in open-source AI models, complementing its dominant role in data center GPUs and software.
The Economic Times reports that Nvidia will pay about USD 12.93 billion for Hugging Face, highlighting how the company is using its sizeable AI cash flow to secure influence over open models that aim to match the capabilities of leading closed systems at lower cost.
Commentary from The Motley Fool's breakfast news review on September 4, 2026 describes the Hugging Face deal as Nvidia's largest acquisition ever, valued at roughly 86 times the target's sales, underlining how strategic the platform's developer ecosystem is to Nvidia's long-term AI roadmap.
Recent earnings show triple-digit revenue growth
In its fiscal second quarter, Nvidia reported revenue of USD 96.2 billion, up 106 percent year over year, as highlighted by a CNBC report published on September 4, 2026.
Several analyst summaries compiled by MarketBeat note that Nvidia recently posted quarterly revenue of USD 96.22 billion and earnings per share of USD 2.22, with revenue more than doubling compared with the prior year period, confirming the magnitude of AI-driven demand.
Management has guided for around 70 percent revenue growth in fiscal 2028 compared with current levels, according to MarketBeat's overview of recent commentary, which analysts see as materially above earlier consensus expectations and a signal that AI infrastructure spending remains robust.
MarketBeat also reports that Nvidia's board has authorized an USD 80 billion share repurchase program, while consensus ratings compiled there show a 'Moderate Buy' view and an average analyst price target of USD 324.23 per share, indicating that many analysts still see upside from the current trading level.
Stock performance and valuation context
MarketBeat data show that Nvidia stock closed at USD 228.45 on September 3, 2026 on the NASDAQ, up USD 4.04 or 1.80 percent on the day, with extended trading pricing the shares at USD 230.63 as of early pre-market hours on September 4, 2026.
At the latest close, MarketBeat calculates Nvidia's market capitalization at about USD 5.51 trillion, illustrating the scale of investor expectations around AI and data center growth.
The same MarketBeat trading overview indicates that Nvidia has a 52 week low of USD 164.07 and a 52 week high of USD 236.54, placing the recent closing price of USD 228.45 closer to the top end of its one-year range and reflecting strong share performance; year-to-date performance stands at roughly 22.49 percent and the one-year gain at about 33.08 percent.
Multiple portfolio and trading alerts on MarketBeat reference Nvidia shares opening around USD 228.45 on September 4, 2026, with the stock described as trading up about 1.8 percent in early activity as investors digest the Hugging Face deal and the latest AI investment plans.
Dividend and capital return signals
Analyst digests on MarketBeat further note that Nvidia recently declared a quarterly dividend of USD 0.25 per share to be paid to shareholders of record on September 10, with the payment date noted as October 1 and the annualized dividend of USD 1.00 implying a yield of about 0.4 percent at recent prices.
MarketBeat states that Nvidia's payout ratio is about 12.64 percent, suggesting the company is retaining the vast majority of its earnings to fund continued AI infrastructure expansion, acquisitions such as Hugging Face and large-scale share repurchases.
Combined with the USD 80 billion buyback authorization, the modest but growing dividend highlights Nvidia's shift toward a more mature capital-return profile while still prioritizing reinvestment in AI platforms, data centers and developer ecosystems.
Product and ecosystem: GeForce and data center platforms
Beyond the headline acquisition and data center GPU business, MarketBeat summaries refer to Nvidia's extension into client computing through planned RTX Spark AI personal computers from manufacturers such as Lenovo and Acer, expected in October, which would bring local AI capabilities directly to end users.
Nvidia's core product portfolio continues to be built around its GeForce graphics cards for gaming, professional visualization GPUs, and data center platforms like its H100 and successor accelerators, which underpin training and inference workloads for generative AI models both on proprietary and open-source stacks.
The planned integration of Hugging Face's open model hub into Nvidia's ecosystem is expected to make it easier for developers using GeForce and data center products to access and deploy pre-trained models, experiment with architectures and optimize performance on Nvidia hardware and software tools.
Stock price and investor perspective
As of September 3, 2026, Nvidia stock closed at USD 228.45 on the NASDAQ, with pre-market indications around USD 230.63 on September 4, 2026, placing the share price near its 52 week high of USD 236.54 and giving the company a market capitalization of approximately USD 5.51 trillion; this reflects investor confidence in the announced USD 12.93 to nearly USD 13 billion Hugging Face acquisition and the recently reported 106 percent year-over-year revenue surge to roughly USD 96.2 billion in the fiscal second quarter.
Nvidia key data
- Company: Nvidia Corporation
- ISIN: US67066G1040
- Ticker: NVDA
- Trading venue: NASDAQ
- Price (as of September 3, 2026, 16:00): 228.45 USD
- Market capitalization: 5.51 trillion USD (as of September 3, 2026)
- Sector / Industry: Information Technology / Semiconductors
- Index membership: S&P 500
