Nvidia stock: As concerns over bets on artificial intelligence (AI) stocks heighten, Nvidia’s earnings could emerge as a make-or-break moment for Wall Street investors. Nvidia — the world’s most valuable company — will report its quarterly earnings after the bell on Wednesday.
The earnings come amid bubble fears in AI and the selling of Nvidia stock by several large investors, raising fears of an imminent selloff in US stocks.
Tech billionaire Peter Thiel’s hedge fund sold its entire stake in Nvidia in the third quarter, as has SoftBank CEO Masayoshi Son, although he has ploughed those returns into a massive bet on OpenAI.
These doubts have pushed Nvidia stock down 10% so far in November, after a 1,200% surge in the past three years, and a 31% rally in 2025 so far.
What to expect from Nvidia earnings?
Despite the concerns of an AI bubble, demand for Nvidia’s chips remains strong as several mega-caps rely on the company amid a boost in their AI spending. Nvidia CEO Jensen Huang last month said that the company has $500 billion in bookings for its advanced chips through 2026.
Viram Shah, Founder & CEO, Vested Finance, said Nvidia’s upcoming earnings are widely anticipated as a key gauge of how strong the AI wave remains across the tech sector.
Nvidia is likely to report a more than 56% jump in its fiscal August-October quarter revenue to $54.92 billion, according to data compiled by LSEG, stated a Reuters report.
Ross Maxwell, Global Strategy Lead at VT Markets, said that estimates suggest revenue and EPS will remain strong. However, the easy growth phase may be behind them. “Investors would be looking to see whether Nvidia can sustain high margins, maintain strong AI-capex demand, and avoid any export or China-related headwinds,” he added.
Although Nvidia’s growth could still be strong, it will be relatively modest compared to recent earnings, as per Maxwell.
China remains another overhang for the company as it cannot ship its most advanced chips there under US export curbs. Huang has said there are “no active discussions” on selling Blackwell in the market despite speculation of a possible deal for a scaled-down version, as per Reuters.
“There are also supply-side constraints and concentration of revenue from the top few customers. Thus, we have seen some sell-off in recent days, especially by large institutional investors, which may be a short-term phenomenon,” Shah said.
Nvidia stock: How to trade?
Analysts believe investors can consider booking partial profits and then take a call on their stock exposure once the earnings are out.
“Whilst a beat could trigger some upside, the market will be much more sensitive to a miss, or even softer guidance, which presents more downside risk for a potential pullback,” said Maxwell.
He advised investors to consider reducing large directional exposure or hedging ahead of the print, and then reassessing once the numbers and commentary are out. “If the long-term view is still bullish, use any post-earnings dip as a potential entry rather than buying just ahead of the earnings event.”
Market expert Mahesh Ojha, while expecting a good set of earnings from Nvidia, said that a significant correction in Nvidia stock can be a buying opportunity for long-term investors. He advised investors to take a fresh position in the stock only after Nvidia’s earnings today.
From a short-to-medium-term perspective, Ojha sees Nvidia stock hitting $188-196, and then $202. However, he advised keeping a stop loss at $168.
Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.