Nvidia’s Q3 Earnings: Blackwell GPU Anticipation Amid Strong Revenue Projections

Nvidia Poised for Strong Earnings as Blackwell GPU Anticipation Builds

Nvidia, the leading graphics processing unit (GPU) manufacturer, is set to release its third-quarter earnings report, with investors and analysts eagerly awaiting insights into the company’s performance and future outlook. Particular attention is focused on the upcoming Blackwell GPU chip, despite full production not being expected until 2025.

Wall Street analysts are projecting robust revenue growth for Nvidia, driven by continued strong sales of existing GPU products and initial shipments of the highly anticipated Blackwell chips. However, experts caution that expectations for Blackwell’s immediate impact should be tempered.

CFRA Research analyst Angelo Zino advises investors to moderate their expectations regarding Blackwell’s short-term influence on Nvidia’s guidance. Zino predicts that Blackwell will likely face supply constraints through 2025 due to high demand from data centers. Despite this cautionary note, CFRA maintains a “Buy” rating for Nvidia with a $160 price target.

Goldman Sachs analysts express optimism about Nvidia’s prospects, focusing on the company’s fourth-quarter guidance to support their positive outlook. They anticipate a significant revenue increase in the third quarter, surpassing consensus estimates. The firm expects strong demand for Nvidia’s Hopper-based GPUs and networking products, maintaining a “Buy” rating with a $150 price target.

Wedbush analyst Dan Ives predicts another standout performance from Nvidia, expecting the company to exceed revenue estimates and provide strong guidance. Ives is particularly encouraged by recent cloud and AI data from major tech companies, which he believes bodes well for Nvidia’s future demand.

Bloomberg Intelligence analyst Kunjan Sobhani projects that Nvidia will surpass revenue consensus and raise its fourth-quarter guidance. Sobhani notes that concerns about Blackwell shipments have been addressed, with initial deliveries expected shortly. Additionally, the analyst predicts that Nvidia’s gross margins will remain above 73%, despite potential slight declines.

As Nvidia prepares to unveil its latest financial results, the tech industry and investors alike are watching closely to gauge the company’s position in the rapidly evolving AI and GPU markets. The performance of the Blackwell GPU and its potential impact on Nvidia’s future growth trajectory remain key focal points for industry observers.