Wedbush: NVIDIA Corporation (NVDA.US) earnings report expected to bring good news, AI bubble theory will be overturned.

Wedbush believes that NVIDIA Corporation (NVDA.US) will deliver "good news" in its third-quarter earnings report, with the artificial intelligence chip giant set to announce its financial results on November 19th local time. The firm has given NVIDIA Corporation a "hold" rating and set a target price of $210. An analyst team led by Daniel Ives stated, "Currently, technology stocks are volatile and investors' concerns about the 'AI bubble' are growing... It all depends on the assessment of the prospects for the demand for the AI revolution, and both the starting point and endpoint of this prospect are closely related to NVIDIA Corporation. After the market closes on Wednesday, we will hear from AI guru Jensen Huang and NVIDIA Corporation's earnings report and outlook, at which point the Wall Street trading floor will fall silent as the entire global market closely watches these results and comments." The analysts pointed out that NVIDIA Corporation is a key cornerstone of the AI revolution. They expect that, based on multiple positive data obtained from their investigation of the Asian supply chain and the significant capital expenditure data disclosed in the earnings reports of large tech companies at the end of October, the company's performance will easily exceed market expectations. The analysts believe that strong demand for the Blackwell chip will play a "core role" in the conference call. However, they noted that the current chip restrictions enforced by the Trump administration on China and ongoing trade negotiations create a significant gap between these outcomes and reality. Ives and his team stated, "We believe that NVIDIA Corporation's earnings/ performance guidance and the overall optimistic comments from Jensen Huang will be positive factors driving the performance of technology stocks at the end of the year, providing strong support for the important moment of verifying global demand drivers and the scale of the AI revolution from Huang's high-level perspective." The analysts added that the data released by NVIDIA Corporation this week will be significant for convincing investors who are taking a wait-and-see approach, helping them to believe that the current trend of AI investments is an unprecedented moment in modern tech history, rather than a period of bubble formation. The analysts concluded, "We believe that NVIDIA Corporation's earnings performance will once again be a crucial moment of validation for the AI revolution and will positively drive the performance of tech stocks."