SoftBank Surges 20% After Nvidia Blowout Quarter Fuels AI Optimism

SoftBank Group shares soared nearly 20% on Thursday, CNBC reported, after Nvidia delivered a blockbuster quarterly earnings report that reignited investor confidence across artificial intelligence markets.

The Japanese technology conglomerate added roughly $35 billion to its market capitalisation in a single session. That came after five consecutive days of losses. SoftBank Nvidia earnings enthusiasm drove the sharpest single-day move for the stock in recent memory.

SoftBank’s Deep AI Exposure Amplified the Move

Andrew Jackson, head of Japanese equity strategy at Ortus Advisors, told CNBC the rally reflected renewed optimism around a potential public listing for OpenAI. SoftBank has poured more than $30 billion into the AI company. Gains tied to that investment reached approximately $45 billion in the fiscal year ended March.

The conglomerate also holds a major stake in Arm Holdings, whose chip architecture is embedded in AI servers and data centers running Nvidia hardware. Arm shares closed more than 15% higher during U.S. trading hours. Jackson noted the scale of the move was notable given how concentrated SoftBank’s exposure to AI assets has become.

Last week, SoftBank reported a $46 billion annual gain at its Vision Fund. Analysts at CreditSights, a unit of Fitch Ratings, reiterated an outperform recommendation on SoftBank debt, citing Arm’s rising valuation as a meaningful balance sheet strengthener.

Also Read: Arm Holdings IPO and the Race to Power AI Infrastructure

Nvidia’s Numbers Drove the Broader Asian Tech Surge

Nvidia reported quarterly revenue of $81.62 billion, an 85% increase from $44.06 billion a year earlier. The company also announced an $80 billion share buyback program and raised its dividend, sending a strong signal of financial confidence.

The results rippled across Nvidia’s Asian supply chain. Taiwan’s TSMC, which manufactures Nvidia’s advanced processors, gained more than 2%. Japan’s Renesas Electronics, a key Nvidia supplier, climbed over 7%. Tokyo Electron, which supplies critical chipmaking equipment, advanced more than 5%. SK Hynix, a major provider of high-bandwidth memory chips used in Nvidia systems, surged over 8%.

Background: SoftBank’s AI Pivot Under Masayoshi Son

Masayoshi Son has spent recent years repositioning SoftBank as an AI-first investment vehicle after earlier setbacks at the Vision Fund. The group’s deepening ties to OpenAI and Arm have made its share price increasingly sensitive to shifts in AI sentiment. That dynamic was on full display Thursday, as a single earnings report from an American chipmaker added tens of billions in Japanese market value overnight.

Samsung Electronics also gained 6.7%, partly helped by news that the company and its South Korean labor union reached a tentative pay agreement, removing immediate strike risk from global chip supply chains.

Read Next: Nvidia’s AI Dominance and What It Means for the Chip Industry