Nvidia Credit Rating Upgraded to AA by S&P Global
S&P Global Ratings raised Nvidia Corporation’s long‑term issuer credit rating to “AA” from “AA‑” on 12‑June‑2026, citing explosive demand for artificial‑intelligence (AI) systems and the company’s sustainable competitive advantage within the rapidly expanding data‑center ecosystem.
The agency projects Nvidia’s revenue to increase 82 % in fiscal 2027, reaching $394 billion, and to grow an additional 38 % in fiscal 2028 to $544 billion, driven by the Blackwell GPU platform and the roadmap for the next‑generation Rubin architecture.
Operating margins are expected to rise while capital intensity remains low, leading S&P to forecast free operating cash flow of $196 billion in fiscal 2027 and $276 billion in fiscal 2028. This liquidity underpins an enhanced $80 billion share‑repurchase authorization and an increased dividend payout.
Nvidia has secured its supply chain by making heavy pre‑payments to Taiwan Semiconductor Manufacturing Co. (TSMC) for leading‑edge foundry capacity, but S&P highlights material risks stemming from the company’s heavy geographical and supplier concentration with TSMC in Taiwan, as well as potential constraints from capital‑market tightening and power‑supply bottlenecks for data‑centers.
The outlook remains stable, with S&P expecting Nvidia to maintain market leadership and further strengthen its balance sheet. The agency notes that any future rating upside would require a meaningful reduction in manufacturing‑outsourcing concentration and sustained net‑cash positions.