Nvidia Shares Flash Bullish Signal Ahead of Earnings Report

Three influential Wall Street firms have simultaneously issued optimistic assessments of Nvidia, propelling the stock nearly 6% higher on Monday. Wolfe Research, Bank of America, and Citi collectively dismissed concerns about China-related headwinds while affirming the strength of the artificial intelligence narrative. With quarterly results scheduled for November 19th, investors are weighing the rationale behind this surge of analyst confidence.

Supply Chain Indicates Unabated AI Demand

Market experts point to tangible signals from Nvidia’s supply partners as justification for their bullish stance. During a recent visit to TSMC in Taiwan, CEO Jensen Huang cited “exceptionally strong demand” for Blackwell chips and requested additional production capacity. Meanwhile, memory chip supplier SK Hynix reported that its entire production for the coming year is already sold out. The South Korean manufacturer is planning substantial capital expenditure increases in anticipation of an extended AI “super-cycle.”

Samsung confirmed it’s engaged in advanced negotiations to supply next-generation HBM4 memory chips to Nvidia. The collective message from the semiconductor ecosystem indicates the artificial intelligence wave continues to build momentum without signs of slowing.

Financial Projections Suggest Substantial Upside

Wolfe Research provided specific financial forecasts, anticipating approximately $300 billion in revenue from Blackwell and Rubin chips alone next year—roughly 20% above previous estimates. The data center business could potentially exceed expectations by up to $85 billion. These projections translate to an estimated earnings per share of $8 for 2026, implying approximately 30% upside potential.

Analyst Chris Caso noted, “Trading at a P/E multiple of 25 based on this earnings power, the shares appear reasonably valued.” He added that recent announcements at Nvidia’s GTC event clearly demonstrated that consensus forecasts remain too conservative.

Should investors sell immediately? Or is it worth buying Nvidia?

China Export Controls Deemed Financially Immaterial

Bank of America downplayed concerns regarding U.S. export restrictions on advanced chips to China. Analyst Vivek Arya stated, “The daily noise surrounding China restrictions creates little value, but from our perspective, it’s irrelevant to near- and medium-term financial projections.” His assessment references Nvidia’s $500 billion data center order backlog for 2025 and 2026. CEO Jensen Huang recently confirmed there are “no active discussions” concerning Blackwell chip sales to China.

Citi has taken an even more definitive stance, factoring in “zero revenue from Chinese data centers” for upcoming quarters—while still recommending investors buy shares ahead of earnings. The firm contends restriction impacts are already fully priced into the stock.

Elevated Expectations for November 19 Earnings

Wall Street anticipates Nvidia will report third-quarter revenue of approximately $54.8 billion, representing 56% year-over-year growth. Adjusted earnings per share are expected to reach $1.25, a 54% increase. Over the past four quarters, Nvidia has exceeded analyst estimates by an average of 6.5%. While the bar is set high, recent analyst commentary suggests the company may deliver another strong performance.

With a market capitalization approaching $4.9 trillion, Nvidia maintains its position as the world’s most valuable company and a key indicator for the broader AI sector. Whether the current rally sustains will become clearer when the company reports next week.