All eyes will be on chipmaker’s latest financials as company sets tone for the rest of the artificial intelligence industry
Nvidia is set to report its second-quarter earnings on Wednesday, in a first test of investor appetite since last week’s mass AI-stock selloff.
All eyes will be on the chipmaker’s latest financials as the company sets the tone for the rest of the AI industry after a turbulent week in the sector. Several tech stocks saw shares tumble last week amid growing questions over whether AI-driven companies are being overvalued, including an MIT report that said 95% of AI pilots fail to grow company’s revenues and statements from the OpenAI chief executive, Sam Altman, who said investors were possibly overhyping several companies.
Nvidia, which became the first company to reach a $4tn market cap in July, saw a 3.5% drop in shares early last week – its biggest drop in months. Stocks recovered modestly by early Wednesday, in anticipation of the company’s pivotal earnings report.
Still, some analysts remain bullish on the so-called AI revolution, especially as major technology companies like Meta, Microsoft, Amazon and Alphabet are investing heavily in AI infrastructure.
