Earnings from bellwether Nvidia could play a pivotal role in the ongoing AI narrative, and decipher where a volatile market goes from here. "The bottom line now is it's all about NVDA," said Strategas' Ryan Grabinski in a recent note to clients. "The direction of the market in the near term appears to be fully on the shoulders of this company.
" Wall Street has come to view Nvidia as the barometer for the broader semiconductor and AI industries. The company has prevailed as the dominant — and most advanced — artificial intelligence chipmaker — supplying to the likes of Amazon, Alphabet and Microsoft. Shares have rallied 159% since the start of the year.
NVDA YTD mountain Shares this year Investors widely expect the chip behemoth to top estimates when it posts results after the bell Wednesday. LSEG estimates are currently bracing for earnings and revenue of 64 cents per share and $28.7 billion, respectively.
All eyes remain on the company's forecast, which has typically impacted the after-market stock action. But the company's Blackwell chips also remain in focus following a report from The Information earlier this month about delays with its next-generation AI chips. Investors seemed to have shrugged off those concerns heading into the report, with shares up nearly 14% over the last month.
However, concerns have begun to mount over the payoff for AI investments from hyperscalers as investors eagerly hunt for signs that demand continues to boom. "At the moment, they're pr.