Nvidia Earnings Preview: August 26 Report to Reveal Data Center Business Prospects
Nvidia's earnings report on August 26 has left investors wondering whether to buy the stock beforehand. The company is set to reveal its second-quarter fiscal 2027 results, which will give insight into its data center business.
The major AI hyperscalers have already reported their earnings, and all signs point to increased capital spending on AI infrastructure. This bodes well for Nvidia's data center business, as the company remains a primary supplier of GPUs while deepening its position in CPUs, networking gear, and full-stack AI systems.
Wall Street analysts expect revenue of roughly $91.8 billion, with estimates ranging from $90.3 billion to $96.7 billion. Earnings per share are forecast at about $2.08, with a range spanning $2.03 to $2.20. These numbers are modestly above Nvidia's management-provided guidance.
Nvidia stock has traded sideways after reporting earnings over the last year, with immediate post-earnings reactions often being neutral or negative in the short term. However, the longer-term trajectory has remained upward. The company's dominant position in AI infrastructure ecosystems and the multiyear nature of the capex supercycle underway make dollar-cost averaging a more viable strategy than attempting to time a single earnings reaction.