Nvidia earnings: What to expect from the market’s darling AI
Nvidia (NVDA) is scheduled to release its third quarter fiscal 2025 financial results on Wednesday, November 20th. Goldman Sachs Managing Director Toshiya Hari joins Sheena Smith and Madison Mills on Catalyst to discuss what to expect from major artificial intelligence (AI) players. Analysts highlight two things they have in mind heading into the earnings call. That means the demand environment for Nvidia products and its strengths beyond AI training in inference to support the chipmaker’s growth are strong and sustainable. “First of all, the environment remains very strong from a demand profile perspective. If there’s a problem, it’s not a demand problem, it’s a supply problem.” Hari said Alphabet (GOOG, GOOGL), While hyperscalers like Microsoft (MSFT) and Amazon (AMZN) are Nvidia’s biggest AI customers building AI infrastructure, “the customer profile is expanding beyond hyperscalers to include enterprises and sovereigns.” says. state. So there’s overall demand there. ” “Secondly, I think there has been a recognition historically that Nvidia is very strong in training but may become less competitive as you move into inference… [However] Nvidia’s growth opportunities could set up and expand the competitive moat they have. ” Analysts believe that Nvidia’s ability to “really innovate across multiple components” is a “12- [to] Our 18-month pace has differentiated us from others and secured a dominant position in the AI space. “I think it’s going to be very difficult, very challenging and very expensive for other companies to compete head-on with Nvidia.” Although the market appears to be bullish on NVIDIA in the near term, Hari said the “big question mark” is the outlook for the 2026 calendar year, as investors try to figure out whether hyperscalers will continue to spend billions of dollars on NVIDIA chips. Although Nvidia recently hit new highs, Hari is one of the analysts who thinks the stock still has room to grow. “We expect the stock to go up from here,” he said ahead of Nvidia’s report, as hyperscalers announce earnings results that could push stock prices higher. For more expert insights and analysis on the latest market trends, check out More Catalysts here. This post was written by Naomi Buchanan.
