Agarwal Devesh sold $239K of BAND

Nvidia reduced memory and interconnect bandwidth targets for its Vera Rubin AI hardware, with HBM4 bandwidth dropping 13% to 19.2 TB/s and NVLink 6 bandwidth falling 16.7% to 3 TB/s. The changes affect all configurations, including the 72-GPU rack. Nvidia stated the original figures were preliminary targets, and the new specs reflect production capabilities.

Bandwidth reported a record adjusted EBITDA margin of 22%, highlighting its scalable business model. Management anticipates continued growth in Enterprise Voice, driven by expanding contracts and network usage, with a projected turning point in Q4 2026 and momentum building in 2027, according to CEO David Morken.

Nvidia has reduced the memory and interconnect bandwidth specifications for its Vera Rubin GPUs, cutting per-GPU HBM4 bandwidth by 13% and NVLink bandwidth by 17%. The changes were made without a press release or explanation. The downgrades affect various configurations, with the eight-GPU HGX Rubin NVL8 experiencing a 26% bandwidth reduction. AMD's MI455X and Helios now lead in certain bandwidth metrics, though no benchmarked comparisons exist.

Bandwidth reported Q3 revenue of $234 million, in line with estimates, and adjusted EPS of $0.50, beating estimates by 6.1%. The company raised its full-year adjusted EPS guidance to $1.76. Key drivers include enterprise wins, AI-driven platform adoption, and partnerships like Salesforce. Management expects revenue growth from enterprise contracts and AI-powered services.

Bandwidth (BAND) shares dropped 13% despite a Q3 revenue beat of $234M, as full-year 2026 guidance met expectations. CEO David Morken highlighted AI agents driving voice and text traffic, supported by a new Salesforce deal. The guidance implies slower Q4 growth, impacting the stock's high valuation. Rival Twilio (TWLO) faces similar scrutiny on its AI-agent outlook.

Bandwidth (BAND) reported Q3 2026 revenue of $234M, up 22%, and adjusted EBITDA of $35M. The company raised its full-year 2026 outlook and expects double-digit cloud communications revenue growth in 2027. Bandwidth signed 11 deals over $1M ACV and sees early traction with Salesforce. The company believes AI will drive long-term growth due to its network ownership, economic model, and customer reliance.