Key points:

• Nvidia shares rise Tuesday
• Earnings drop Wednesday
• Markets hold their breath

It’s almost that time of the year again where we all collectively say “It’s Nvidia’s stock market, and we all live in it.”

🎮 It’s Nvidia’s World

• Nvidia stock NVDA ticked higher ahead of Wednesday’s earnings, as traders once again prepare for the company that seems to set the tone for the entire market.
• The backdrop feels different this time. AI enthusiasm remains strong, but concerns over heavy capital spending and stretched valuations have cooled the mood across tech.
• The shares are up just about 2% this year and still roughly 11% below their October peak. Expectations remain high, even if momentum has eased.

📊 Numbers That Matter

• Analysts expect revenue to jump about 67% year over year to $65.7 billion, with adjusted earnings projected at $1.53 per share. Those are eye-popping growth rates, yet the bar keeps rising.
• The data center segment, Nvidia’s AI engine room, will be front and center. Traders want to see continued strength in chip demand from cloud and enterprise customers.
• Remaining performance obligations, essentially future revenue already booked, will also draw attention. A strong backlog suggests demand visibility, which markets love.

🌏 Guidance Is the Real Game

• Commentary on China remains critical. Regulatory hurdles around advanced chip exports, including the H200 series, could influence future sales momentum.
• Forward guidance often matters more than the quarter just reported. If the key man, Jensen Huang, signals sustained AI demand into next year, bulls stay comfortable. If tone softens, sellers may step in quickly.
• In short, this report is not just about Nvidia. It is about confidence in the AI trade itself.

Source: Tradingview