With markets jittery after weeks of tech selloffs, Nvidia’s earnings are the next big test for AI sentiment

Nvidia’s quarterly earnings have been must-watch events ever since its stock began a dramatic ascent in 2023, following OpenAI’s launch of ChatGPT and the start of the generative AI boom. Now that it’s the world’s most valuable public company, Nvidia’s results face intense scrutiny as investors seek reassurance that AI-driven capital spending remains justified.

Today’s after-the-bell announcement will come amid weeks of tech stock selloffs. But Nvidia stock edged higher this morning, as analysts predicted data center revenue, adjusted earnings per share and gross profit margin would rise. 

Certainly, the company’s bona fides have not changed amid the recent stock roller coaster ride: Nvidia controls the vast majority of the market for GPUs, the chips used to train and run large AI models like ChatGPT and Anthropic’s Claude. Its CUDA software platform, which lets developers write code optimized specifically for Nvidia hardware, has become the industry’s de facto standard, reinforcing that dominance.........

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