From Financial Modeling Prep: 2025-05-26 07:20:00

Wall Street awaits Nvidia’s quarterly report, with shares down 2% year-to-date amid rising long-dated U.S. Treasury yields. Nvidia’s AI chip momentum and fiscal policy risks are in focus as it becomes the final megacap to release results this season.

Nvidia’s pivotal role in the AI market has been a major driver of the overall market, according to Chuck Carlson of Horizon Investment Services. The company’s performance could have a significant impact on major benchmarks like the Nasdaq and S&P 500 futures.

Key metrics to watch include Nvidia’s earnings report on Wednesday, with consensus EPS of $5.12 and revenue of $26.8 billion. Historical data shows NVDA has consistently beaten EPS estimates by an average of 9% over the past eight quarters.

Concerns over fiscal policy decisions in Congress, including potential tax cuts and increased spending, are weighing on investors. Rising deficits are pushing long-term yields higher, impacting tech companies’ cost of capital and future profit margins.

As AI chip demand remains strong but funding costs rise, Nvidia’s report will indicate whether its growth can outpace the more expensive debt environment. The results will be crucial for markets navigating technological disruption and fiscal uncertainty.



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