Nvidia’s Earnings Anticipation Fuels Rally in AI Stocks

Nvidia shares climbed 5% over the past month, testing resistance at the $200 threshold as investors await next week's earnings report. The chipmaker's stock has oscillated between $190 and $198 despite a broader sell-off in AI equities last month. Year-to-date, Nvidia remains a standout performer in the semiconductor space.

The company's upcoming earnings on November 19 follow a record-breaking quarter, with Q2 FY26 revenue hitting $46.7 billion—a dramatic year-over-year increase. Data center revenue surged 56%, while non-GAAP gross margins reached 72.7%. Management's Q3 guidance of $54 billion suggests continued momentum.

Nvidia's strategic investments underscore its ecosystem dominance. A $1 billion partnership with Nokia aims to develop 6G networks capable of supporting AI-native systems, while a separate $5 billion initiative signals aggressive expansion. These moves come as the firm solidifies its position as a global leader in GPU and chip manufacturing.