- Nvidia’s stock may not see strong gains until the May earnings report due to investor concerns about economic conditions, tariffs, and Chinese restrictions.
- CEO Jensen Huang will discuss new AI processors, including Blackwell Ultra and Rubin chips, with investors focusing on their shipping schedules.
- Analysts remain uncertain about potential new export controls on Nvidia’s shipments to China, which could impact stock performance.
Nvidia’s largest conference of the year started on Monday and featured significant announcements. Yet, according to analysts, the company’s stock might not witness a strong rally even until the May earnings report. It’s stock fell almost 2% to 119.28 in midday trading.
Analysts say that investors are concerned about a number of issues, such as economic conditions, uncertainty related to tariffs, and Chinese restrictions that might impact revenue and profit margins.
Nvidia Blackwell Ultra and Rubin Chips in Focus
Jordan Klein of Mizuho Securities pointed out that although Nvidia might attribute robust demand for its AI-oriented graphics processing units, investors’ apprehensions about the firm’s immediate performance continue.
Most investors are of the opinion that the conference on its own could turn out to be less than sufficient to dispel concerns regarding continued economic and supply chain challenges.
Nvidia CEO Jensen Huang will give a keynote address on Tuesday at 10 a.m. Pacific Time, where he’ll cover the latest AI processors from it, such as its forthcoming Blackwell Ultra GPU and next-generation Rubin chips.
The firm can also discuss the state of quantum computing strategy, given that it’s hosting a special “quantum day” event. Investors will keep a close eye on any news regarding Nvidia’s AI processors shipping schedule and also on the details regarding the Rubin chips, which are anticipated to roll out in 2026.
Market Outlook and Investor Concerns
JPMorgan’s Samik Chatterjee said while investors are wary of the timeline for Rubin chips, news that Blackwell Ultra would release later this year would be interpreted as a bullish indicator for Nvidia’s supply chain. UBS’ Timothy Arcuri reiterated a 12-month price target of 185 on Nvidia shares and reiterated a buy rating.
Despite hopes from some analysts, there is still uncertainty surrounding potential new export controls that would affect Nvidia’s shipments to China. Investors continue to wait for confirmation of whether the government will impose further restrictions.
Because of this, its stock is likely to trade within a specific range until there is more clarity from its May earnings report.
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