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Nvidia earnings: Wall Street watching for hyperscaler spending, China demand with stock near highs

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Updated

2025-08-27T14:32:45Z

  • Nvidia will release its second-quarter earnings after the closing bell on Wednesday.
  • Shares of the tech giant were up 35% year-to-date through Tuesday.
  • Wall Street remains bullish on the stock, and will be looking for updates on hyperscaler spending.

Nvidia will report fiscal second-quarter earnings on Wednesday after the closing bell.

Wall Street will be closely watching for signs that AI-chip demand from hyperscalers like Microsoft, Meta, and Amazon is staying strong. Investors will also be looking for updates on how Nvidia is faring in China.

The earnings-release time is shortly after 4 p.m. ET, and its conference call with analysts will start around 5 p.m.

Nvidia’s stock was up 35% year-to-date through Tuesdays’s close, handily outpacing the S&P 500‘s 10% increase.

2025-08-27T14:30:27Z

Evercore ISI: Nvidia remains a ‘top pick’

Evercore said its industry checks suggested Nvidia’s software was the “solution of choice” for training large language models.


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Evercore analysts said they expected AI capex to soar 72% in 2025, adding that cloud demand at companies like Amazon and Azure suggested that AI “hit a tipping point at enterprises.”

Industry checks also suggest there’s strong demand for Nvidia’s Blackwell product line, and that the company’s software remains the “solution of choice” for training large language models.

“NVDA remains our top pick, near-term due to improving visibility, longer-term, as we believe it could ultimately capture up to 16% weighting of the S&P 500 Index,” they added. At the time analysts wrote the note, Nvidia made up around 8% of the benchmark index.

Evercore reiterated its “Outperform” rating on the stock and lifted its price target to $214 a share from $190 a share, implying 19% upside from current levels.

2025-08-27T13:50:02Z

Nvidia’s consensus second-quarter revenue estimate is $46.23 billion.

Second quarter

Third quarter

  • Revenue estimate: $53.46 billion
  • Adjusted gross margin estimate: 73.4%
  • Adjusted operating expenses estimate: $4.26 billion
  • Capital expenditure estimate: $1.23 billion

Full year 2026

  • Revenue estimate: $203.68 billion
  • Capital expenditure estimate: $4.72 billion

Source: Bloomberg