CNBC’s Jim Cramer said Tuesday that Nvidia now sits at the very heart of the AI ecosystem, making its earnings a referendum on the broader AI trade.
Cramer told viewers that headwinds including competitive pressure, data-center pushback, memory supply constraints, and questions about AI funding have not shaken his confidence in the chipmaker, according to CNBC
Nvidia is scheduled to report its second-quarter results after the closing bell on Wednesday alongside Salesforce and CrowdStrike. Nvidia’s valuation has crossed the $5 trillion threshold, making it the top constituent in the S&P 500, and investors are looking to its quarterly figures for clues about the direction of equities more broadly. Analysts polled by FactSet forecast Nvidia will post $2.09 per share in earnings on revenue of $92.28 billion.
Wednesday also brings the release of July’s personal consumption expenditures price index — the Federal Reserve’s preferred measure of inflation — at 8:30 a.m. ET. Economists expect a 0.1% rise month-over-month and a 3.6% year-over-year increase for July.