NVIDIA, the world's most valuable publicly traded company, provided a tepid revenue forecast for the current quarter, raising concerns that the massive growth in artificial intelligence spending may be decelerating.

The company stated in a announcement on Wednesday that sales for the third fiscal quarter ending in October are expected to reach approximately $54 billion. While this aligns with Wall Street's average estimate, some analysts had previously anticipated the figure would exceed $60 billion.

The company's lukewarm outlook has intensified concerns about the sustainability of investment pace in AI systems. Market challenges have also cast a shadow over NVIDIA's business. Although the Trump administration recently eased restrictions on exports of certain AI chips, this relaxation has not yet translated into a revenue rebound.

Following the earnings announcement, NVIDIA shares declined in after-hours trading. As of market close, the company's stock has risen 35% year-to-date, with its market capitalization surpassing $4 trillion.

NVIDIA continues to grapple with the impact of intensifying competition, with technology becoming a primary focus. In April of this year, the Trump administration tightened restrictions on data center processor exports, effectively excluding NVIDIA from that market. Washington subsequently reversed this restriction, stating that the U.S. would allow NVIDIA to export certain products to China, but would collect a 15% revenue share.