Nvidia reports quarterly results on August 26, and Wall Street has rarely been so divided about a company it mostly agrees is a buy.
Analysts are "nearly unanimous at strong buy," according to an MSN report, but the company has set itself a demanding target: guidance of $91 billion in revenue for the quarter. Beating a number that large is its own kind of pressure — expectations, as the report puts it, run hot.
The run-up has been bumpy. Apple has overtaken Nvidia as the world's most valuable company, according to Ukrainian outlet Межа, despite the continuing AI surge. Finance.biggo.com reports that Nvidia is trading at its steepest discount since the AI boom began, even as CEO Jensen Huang doubles down on his trillion-dollar vision for the business. Shares have since recovered somewhat, ts2.tech reports, helped by AI spending and cash returned to shareholders.
That weakness has attracted buyers. Morningstar, cited by Business Insider, now describes Nvidia as an "undervalued" high-upside stock play — an unfamiliar label for a company that spent years looking expensive. Cathie Wood's ARK bought $15.6 million in Nvidia shares across five of its ETFs, according to eciks.org.
Others are positioning the opposite way. Michael Burry has added to his Nvidia put options and Micron shorts, Seeking Alpha reports. And Mark Cuban has called Nvidia a scarier problem than Oracle, warning that the company's sprawling web of AI financing resembles the dot-com bubble and that trillions could be wiped out if it unravels — comments reported by Business Insider and relayed by the Times of India.
Why it matters: Nvidia's chips underpin nearly every major AI project, so a single earnings report now moves retirement accounts, index funds and the broader market's confidence in the entire AI build-out.