Nvidia Earnings/Guidance Miss Could Crash Market: Move to High-Yield AI Tech Dividend Giants

Nvidia Corp. (NASDAQ: NVDA) reports earnings on February 26, and one thing is almost a given across Wall Street: if they don’t blow away expectations for revenue and profits and provide a very positive forward-looking forecast, we could be in for a big sell-off. The stock that has led the market and the Magnificent 7 higher for going on two and a half years could remarkably be the one that leads to a big sell-off, especially in the tech sector. When the Chinese AI DeepSeek was released, Nvidia’s stock price dropped by almost 17% in one day. That resulted in a nearly $600 billion loss in market capitalization and one of the most enormous single-day losses in U.S. market history. Just imagine what could happen with lower revenues or slowing forecast growth.

One solid idea for technology growth and income investors with significant gains in Nvidia may be to look at technology stocks that pay solid and dependable dividends. We screened our 24/7 Wall St. research universe, looking for well-known technology companies that pay dividends and have solid growth prospects for the rest of 2025 and beyond. We found four that look like outstanding ideas now.

For the record, we are not suggesting selling all positions in Nvidia. Shareholders, especially those with substantial unrealized gains, should take some off the table and buy other quality technology names with considerable upside potential.

Why do we cover technology dividend stocks?

Since 1926, dividends have contributed approximately 32% of the total return for the S&P 500, while capital appreciations have contributed 68%. Therefore, sustainable dividend income and capital appreciation potential are essential for total return expectations. With the potential for substantial upside moves plus dependable dividends, technology dividend stocks are solid ideas for growth and income investors.

Digital Realty Trust

Digital Realty Trust Inc. (NYSE: DLR) pays a solid 2.97% dividend as an industry leader and probably one of the best pure-plays for AI exposure. It brings companies and data together by delivering the full spectrum of data center, colocation, and interconnection solutions.

PlatformDIGITAL, the company’s global data center platform, provides customers with a secure data meeting place and a proven Pervasive Datacenter Architecture (PDx) solution methodology for powering innovation and efficiently managing Data Gravity challenges.

Digital Realty gives its customers access to the connected data communities that matter to them. Its global data center footprint includes over 300 facilities in 50 metro areas in 25 countries on six continents. Some of the biggest companies in the tech industry, including Nvidia, AMD, and Oracle, are using Digital Realty Trust’s data center and cooling solutions.

The company announced last year via press release:

Digital Realty has commenced construction of its third data center at its NRT campus in Inzai, Chiba Prefecture, in Japan. Utilizing PlatformDIGITAL, the facility is expected to open in December 2025 and will significantly increase the availability of state-of-the-art AI-ready infrastructure capacity in Japan. This announcement follows the recent launch of NRT12 on the same campus, solidifying Digital Realty’s commitment to providing customers with best-in-class data center solutions in Japan.

Equinix

While priced higher than the other stocks in the sector, this industry giant still offers a significant upside and a 2.01% dividend. Equinix Inc. (NASDAQ: EQIX) is the world’s self-described digital infrastructure company. It will benefit from the rising demand for data centers and AI infrastructure solutions.

In March 2024, former Google Cloud executive Adrian Fox-Martin became the firm’s CEO. Fox-Martin has more than 25 years of experience in the technology sector, including in senior positions at Oracle and SAP.

Digital leaders harness Equinix’s trusted platform to connect foundational infrastructure at software speed. Equinix enables organizations to access all the right places, partners, and possibilities to scale with agility, speed the launch of digital services, deliver world-class experiences, and multiply their value while supporting their sustainability goals.

The company announced last year the availability of Dell Technologies PowerStore on Equinix Metal, a new, enterprise-grade Storage as a Service (STaaS) solution. With flexible configurations, Dell PowerStore on Equinix Metal can help enterprises manage a wide range of high-performance multi-cloud workloads through low-latency connectivity and proximity to major public clouds.

IBM

The legacy blue-chip tech giant pays a solid 2.56% dividend and offers conservative investors another safer way to play the sector. International Business Machines Corp. (NYSE: IBM) and its subsidiaries provide integrated solutions and services worldwide.

The company operates through four segments:

• Software
• Consulting
• Infrastructure
• Financing

The Software segment offers a hybrid cloud and AI platform that allows clients to realize their digital and AI transformations across the applications, data, and environments in which they operate. IBM has partnered with Amazon Web Services (AWS) to allow users to access Watsonx AI features and its data platform. IBM also partnered with Palo Alto Networks, allowing the cybersecurity company to acquire IBM’s QRadar Software as a Service (SaaS) assets.

The Consulting segment focuses on skills integration for strategy, experience, technology, and operations by domain and industry.

The Infrastructure segment provides on-premises and cloud-based server and storage solutions and life-cycle services for hybrid cloud infrastructure deployment.

The Financing segment offers client and commercial financing that facilitates IBM clients’ acquisition of hardware, software, and services.

The company has a strategic partnership with various companies, including:

• Hyperscalers
• Service providers
• Global system integrators
• Software and hardware vendors that include Adobe, Amazon Web services, Microsoft, Oracle, Salesforce, Samsung Electronics SAP, and others

IBM posted strong fourth-quarter results that beat Wall Street expectations across the board.

Texas Instruments

This legacy technology giant offers a 2.97% dividend and another solid way to play the AI explosion. Texas Instruments Inc. (NASDAQ: TXN) designs, manufactures, and sells semiconductors to electronics designers and manufacturers in the United States and internationally.

The company operates through Analog and Embedded Processing segments.

The Analog segment offers power products to manage power requirements across various voltage levels, including battery-management solutions, DC/DC switching regulators, AC/DC and isolated controllers and converters, power switches, linear regulators, voltage references, and lighting products.

This segment provides signal chain products that sense, condition, and measure signals to allow information to be transferred or converted for further processing and control. These include amplifiers, data converters, interface products, motor drives, clocks, and logic and sensing products.

Texas Instruments also provides AI-focused chips and solutions. The company offers the Sitara AM62 processors that power AI applications.

The Embedded Processing segment offers microcontrollers for electronic equipment, digital signal processors for mathematical computations, and application processors for specific computing activities.

This segment provides products for use in various markets, such as:

• Industrial
• Automotive
• Personal electronics
• Communications equipment
• Enterprise systems
• calculators

It also provides DLP products primarily for projecting high-definition images, calculators, and application-specific integrated circuits.

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