Nvidia Q1 earnings in focus as global tensions weigh on outlook

28 May 2025 14:30
28 May 2025 14:37

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Nvidia Q1 earnings in focus as global tensions weigh on outlook

Photo: Bloomberg

Nvidia (NVDA) is set to release its fiscal first-quarter results after the market closes on Wednesday, marking one of the most closely watched earnings announcements of the season.

Nvidia stock has fluctuated wildly since the start of the year as the company has dealt with setbacks ranging from the Trump administration's ban on shipments of its H20 chips bound for China to concerns related to expected semiconductor tariffs, News.Az reports, citing foreign media.

But a last-minute reprieve from Washington's planned AI diffusion rule, which was put in place by the Biden administration to limit GPU sales to certain countries, and major investment announcements during Trump's visit to the Middle East have brought Nvidia's share price to $135.50 — 1% over the value at the start of the year, and up roughly 27% over the past 12 months as of Tuesday.

Nvidia's report follows the company's showing at the annual Computex Taipei tradeshow in Taiwan, where it showcased new technologies, such as its new cloud offering, which gives customers access to cloud-based versions of Nvidia's GPUs via third-party providers, including CoreWeave (CRWV) and Foxconn (2354.TW).

For the quarter, Nvidia is expected to report adjusted earnings per share (EPS) of $0.88 on revenue of $43.3 billion, according to Bloomberg analyst consensus data. The company reported adjusted EPS of $0.61 on revenue of $26 billion in the same period last year.

Wall Street anticipates Nvidia's data center revenue to top out at $39.2 billion, up from $22.5 billion, which works out to a 74% year-over-year increase. Gaming revenue, the company's second-largest segment, is set to hit $2.8 billion, up from $2.6 billion.

News.Az