Mizuho analyst Vijay Rakesh said the market has broadly come to expect Nvidia to post second-quarter earnings above consensus, leaving investors focused less on the quarter itself and more on what the company says about next year’s AI spending and revenue trajectory. Rakesh said the key issue is guidance tied to AI capital expenditure and revenue performance in the coming year.
Street estimates cited in the report put Nvidia’s adjusted earnings per share at $2.08 and revenue at $92 billion. Rakesh said actual results should come in well above those figures. He also maintained an Outperform rating on the stock and kept his $300 price target.
Rakesh added that Wall Street’s expectation for $550 billion in AI revenue next year looks conservative. He pointed to Nvidia’s recent financing agreement with a Wall Street consortium and SpaceX’s plan to build a gigawatt-scale solar plant in Austin, saying those two items alone could generate an additional $400 billion to $500 billion in AI revenue. The report was attributed to Jin10 and carried by BlockBeats.
BlockBeats reported on Aug. 27 that Mizuho analyst Vijay Rakesh said consensus has already formed around Nvidia (NVDA.O) delivering second-quarter earnings above expectations, with the market now watching the company’s AI spending outlook more closely than the quarter’s headline beat.
Rakesh said, “The focus is on what it says about next year’s AI capital spending and revenue performance.”
Analysts cited in the report expect Nvidia to post adjusted earnings per share of $2.08 and revenue of $92 billion. Rakesh said the actual figures should come in well above that level. He also reiterated his Outperform rating and kept a $300 price target on the stock.
Rakesh also said Wall Street’s forecast for next year’s AI revenue, at $550 billion, is too conservative. He pointed to Nvidia’s recent financing agreement with a Wall Street consortium, along with SpaceX’s plan to build a gigawatt-scale solar plant in Austin, saying that “these two items alone could bring an additional $400 billion to $500 billion in AI revenue.”
The item cited Jin10 as the source.
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