Gene Munster, managing partner at Deepwater Asset Management, has provided insights into the future of NVIDIA Corp NVDA ahead of its upcoming earnings report. Despite potential short-term setbacks, Munster predicts sustained growth for Nvidia through 2026. He believes that despite the recent stock surge, ongoing demand-supply imbalances and possible delays in Blackwell could impact investor sentiment negatively. It is anticipated that Nvidia’s stock may dip following the earnings report, given the recent 30% surge and proximity to all-time highs.
Munster emphasizes the importance of CEO Jensen Huang’s comments on the demand-supply imbalance, as Huang previously suggested that this imbalance will persist well into next year. Munster also discusses growth projections for Nvidia, predicting faster and more significant growth than what most investors anticipate for the company. Despite caution regarding immediate stock performance, Munster highlights Nvidia’s enduring potential, especially with the upcoming Blackwell architecture playing a crucial role in the company’s future success over the next few years.
The upcoming earnings report from Nvidia is highly anticipated by investors and analysts, with expectations of another strong performance from the AI giant. The average expectations for the second quarter of fiscal 2025 include earnings of $0.64 per share and revenue of $28.68 billion, a significant increase from the previous year’s figures. Market analysts like Jim Cramer and Peter Boockvar emphasize the importance of Nvidia’s earnings on the market, with CEO Jensen Huang’s insights on future AI chip demand shaping the tech industry’s trajectory through 2025.
Nvidia’s stock closed at $126.46 on Monday, with a slight increase in after-hours trading. Year to date, NVDA has surged 162.53%. Investors are eagerly awaiting the upcoming earnings call, seen as a pivotal moment for Nvidia.Overall, the future looks promising for Nvidia despite potential short-term challenges and market volatility.
