Wall Street eyes ‘growing pains’ in Nvidia earnings but all eyes are on a bullish 2nd half for its next-gen chip – Harris International Group LLC HIG Consortium

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NVIDIA will report its profits on Wednesday, as investors focused on the impact of the Blackwele demand from Deepseek.
The Deepseek model of artificial intelligence raised concerns about the decrease in GPU when it first appeared last month.
Most analysts expect NVIDIA to overcome profit estimates and may raise guidance.

Nafidia He has a high tape to wipe when he is reported to the fourth quarter profits after the closing bell on Wednesday.

As the second largest company in the world, NVIDIA will have to prove to investors who ask the next generation Blackwell chip It is still strong, and that the company will not be negatively affected by the appearance of the Chinese Deepseek Ai model.

Last month, Dibsic raised concerns among investors that data centers will not need a great deal of computing power as they initially expected, which would lead to less GPU sales for NVIDIA.

However, Nafidia, CEO Ginsen Huang Deepseek's efficiency gains will only accelerate the speed in which artificial intelligence is adopted and advanced.

According to Bloomberg data, the average analysts' estimates indicate that NVIDIA will grow 73 % to 38.2 billion dollars per quarter, compared to revenues of about $ 20 billion.

Here is what Wall Street says about the profit report coming from NVIDIA.

Mizuho analysts said that although they expect NVIDIA to report a report “in the line”, they also expect some “increasing pain”.

“Our checks indicate that although JanQ DC expects the line, AprilQ may be more wondering as the slopes near the duration remain modest due to the energy/cooling requirements of GB200.”.

DC refers to NVIDIA data center revenues, which include GPU sales.

For Mizuho, the focus focuses on the second half of the year, where the strong Blackweell slope is expected to compensate for any lost revenue in the first half of the year.

“We still see NVDA leading a strong driving driving in the industry with its ecological system, in addition to the integrated HW platform where it has strong relations for customers,” Mezoho said, adding that she expects Microsoft, Amazon and Alphabet major bicckers to the Turbocharger GPU charger later purchases later purchases. This year.

Mizuho Nvidia rates in “Outperform” with the price goal of $ 175.

“The big question that enters the profits is whether it will be” a $ two billion and one billion dollars. ” The company believes it can withdraw it.

“We expect a strong performance, a” clear victory and raising “from NVIDIA, which should calm the nerves of investors as Jensen puts the huge demand for Blackwele and Ai Capex in the field that feeds this fourth industrial revolution,” Widbush said.

Wedbush said that based on its channels tests, the publishing of the Amnesty International Foundation was not slowed or changed due to Deepseek.

“No agent wants to” lose his place in the queue, “said Widbush.

Analysts at the Bank of America expect NVIDIA to overcome analysts, and they said they expect the data center revenue in the year 2025 to increase the company by 60 % on an annual basis.

“Despite the supposed” revolutionary “improvements to Deepseek, there is no change yet to spend the intentions in NVDA adult customers including Microsoft and Meta.”

Aria said that improvements in devices and programs are “major computing parts”, so it is not expected to lead Deepseek to a decrease in sales of the company.

When looking at past profits, Arya said that the NVIDIA GTC conference in March is the next big catalyst. This is where the NVIDIA investor can move away from Blackweell and towards the next generation products, including GPU Rubin and independent robots solutions.

Bank of America evaluates NVIDIA to “buy” with a $ 190 goal.

NVIDIA is likely to meet revenue expectations in the fourth quarter and raise its guidelines in the first quarter “amid a significant increase in GPUS Blackwell”, Konjan Sobani, a Bloomberg Intelligence Technology analyst, said last week.

Sobani said that NVIDIA has overcome some of the recent delays in the supply and fears chain about the request for excessive performance, as it is clear from the price of his share to recover Deepseek losses completely.

“The initial shipments of the main customers started in the fourth quarter and will increase to 1Q26,” Sobani said. “Increased on -capital spending guidelines from Meta, Microsoft, Amazon Web Services and Google helps our confidence in sales in the short term.”

Sobani said that Nevida's profit margins can “return to the mid -seventies” in the second half of the year after it decreased due to Blackwell's slope.

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