Investing.com – Nvidia (NASDAQ:) is expected to report what analysts at Wedbush called “the most important earnings report for the stock market this year and possibly in years” in a note on Wednesday.
Wedbush says the “godfather of AI,” Nvidia CEO Jensen Huang, is expected to provide key insights on the state of the AI revolution that has made Nvidia’s GPUs the foundation of a $1 trillion wave of AI investment predicted for the next few years.
As expected, Wedbush analysts are optimistic, expecting “another big performance from Nvidia, as Jensen & Co. are currently the only ones planning $1 trillion in AI investments over the next few years, and Nvidia’s GPUs are the world’s new oil and gold.”
They emphasize that Huang’s perspective on enterprise AI demand will be key to understanding future demand for Nvidia’s AI chips.
The analysts describe Nvidia’s GPUs as “the new oil and gold of this world” and point to their crucial role in the ongoing AI transformation.
The market is expecting Nvidia’s earnings to confirm the strong demand for AI seen in recent reports from tech giants such as Microsoft (NASDAQ:), Amazon (NASDAQ:) and Google (NASDAQ:).
This was further supported by companies such as ServiceNow (NYSE:), AMD (NASDAQ:) and Palantir (NYSE:), all of which have highlighted the growing reach of AI.
Wedbush believes Nvidia’s report will not only impact its own stock, but could also drive up tech stock prices through the end of the year and into 2025. They point out that potential Fed rate cuts and a soft macroeconomic landing, combined with what they describe as a “generational spending cycle” on AI, are setting the stage for further growth in the tech sector.
With the release approaching, all eyes are on Nvidia, and Wedbush is predicting “another masterful quarter and strong guidance” after the market closes today that will “help Wall Street identify the next frontier and the next winners of this AI revolution.”
