Nvidia's Latest Big Test - Business Insider
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In today's big story, we're previewing what to expect from Nvidia's big earnings report after the bell.
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But first, reporting for duty.
In previous quarters, the biggest question asked of the chip giant wasn't if it would beat analyst estimates; it was how much it could surpass them.
Things are different now, as 2025 hasn't been kind to Nvidia. The tech giant is up just 0.9% this year, trailing the Nasdaq 100 index, which is up nearly 2%.
BI's Jennifer Sor has a rundown on what analysts are saying about Nvidia before it reports after the bell. Unsurprisingly, what's got Wall Street concerned about Nvidia is what's top of mind for almost every company these days: tariffs.
With so much of Nvidia's business tied to China — CEO Jensen Huang recently said its market share there was roughly 50% — the threat of a trade war weighs heavily on the tech giant.
Tariffs' uncertainty and volatility haven't always been bad for Nvidia. After taking a serious tumble following President Donald Trump's "Liberation Day," the stock is up 44% from recent lows.
Today, all eyes will be on Nvidia's guidance and how confident, or pessimistic, the company will be about its future projects while dealing with an unknown trade policy.
Bank of America said Nvidia's second-quarter guidance could be "messy," and Piper Sandler even expects the company to miss on revenue. Both firms, however, still believe the stock has upside.
Betting on Nvidia's resilience might be the best move. After all, the tech giant has successfully responded to what some have previously positioned as major threats to its business model.
This February, there were concerns over the Chinese startup DeepSeek. In November, all the talk was about demand for its new Blackwell chip. And last August, Nvidia had to address whether tech companies were rethinking the ROI they were getting from their AI bets.
Each time, Nvidia answered the bell. Which raises the question: Why should tariffs be any different?
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The Business Insider Today team: Dan DeFrancesco, deputy editor and anchor, in New York. Hallam Bullock, senior editor, in London. Grace Lett, editor, in Chicago. Amanda Yen, associate editor, in New York. Lisa Ryan, executive editor, in New York. Ella Hopkins, associate editor, in London. Elizabeth Casolo, fellow, in Chicago.
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