Nvidia reports fiscal second-quarter results on Wednesday, with revenue expected to nearly double from a year earlier. Investors are watching whether the new Rubin chips can extend the AI spending boom after Nvidia arranged $500 billion in financing for customers and backstopped a $105 billion OpenAI data-center lease. Growing competition from AMD, Intel and Big Tech's own chips adds pressure to the Rubin ramp-up.
Nvidia reports fiscal second-quarter results on Wednesday, and analysts expect revenue to nearly double from a year earlier to $92.18 billion — the quickest growth pace in seven quarters, according to data compiled by LSEG. A separate consensus put the figure at $91.8 billion to $92.2 billion, with earnings per share near $2.09.
Data centers carry the growth
Nvidia's data-center business is projected to generate roughly $85 billion in the quarter, more than 100% growth year-over-year, driven by demand from hyperscalers and cloud providers. However, Nvidia's official guidance excludes any revenue from Chinese data-center operations, so shipments of its H200 chips into China could add upside not reflected in current estimates.
Rubin ramp meets a Blackwell handoff
Investors are increasingly focused on how quickly Nvidia can transition customers from Blackwell to its next-generation Vera Rubin processors, with shipments expected to begin this autumn. Morgan Stanley analysts estimate Rubin could contribute nearly $9 billion in sales in the third quarter ending October. Meanwhile, Nvidia shares have traded in the $210 to $215 range heading into the report, pulled back from their May 2026 highs. Options markets are pricing a 5-6% post-earnings move. Nvidia's stock has risen 11.8% so far this year and lagged major rivals, briefly ceding its spot as the world's most valuable company to Apple last month.
AI financing under scrutiny
Scrutiny has intensified after Nvidia helped arrange $500 billion in financing from six major U.S. financial institutions for its customers this month. Last week, Nvidia also agreed to guarantee up to $105 billion to help OpenAI lease a data center in Ohio for 20 years. According to Reuters: "This makes them a kind of central banking figure in the AI space," said Brian Mulberry, chief market strategist at Zacks Investment Management, which holds Nvidia shares.
Analysts expect Nvidia to forecast an 82.8% rise in third-quarter sales to $104.20 billion, with adjusted gross margin for the second and third quarters expected to remain around 75%.
Sources: Reuters via Yahoo Finance, Crypto Briefing
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