Shares in Nvidia (NVDA) are trading near record highs ahead of the highly anticipated release of the chipmaker’s second-quarter earnings after the market close on Wednesday.

Nvidia is expected to report revenue of $46.2bn (£34.4bn) and adjusted earnings per share (EPS) of $1.01, according to Bloomberg analyst consensus estimates. The chipmaker reported revenue of $30bn and adjusted EPS of $0.68 in the same quarter last year.

Read more: Stock mixed as UK energy prices set to rise more than expected

Josh Gilbert, market analyst at eToro, said: “In the current quarter, US mega caps have ramped up capital expenditure on AI following another round of strong results, and much of that investment is set to flow straight to Nvidia. That bodes well not only for this week’s earnings, but also for the company’s outlook in the quarters ahead.

“It’s in a highly enviable position as the go-to hardware manufacturer, and that’s not likely to change anytime soon,” he said. “Even with the stock trading at a premium valuation, investors continue to pay up on the expectation that Nvidia will keep delivering on AI growth.”

“Nvidia may be the market’s heartbeat, but that comes with the expectation of perfection, meaning even the smallest disappointment could spark outsized volatility across broader markets, not just Nvidia shares,” Gilbert added. “But investors will likely see weakness as an opportunity, given the AI boom feels like it’s only just getting started.”

Shares in Okta (OKTA) popped 5.6% in pre-market trading on Wednesday, after the identity security provider delivered an earnings beat.

In results released on Tuesday, Okta posted a 13% increase in revenue year-on-year to $728m, while diluted earnings per share rose to $0.37. Wall Street was expecting revenue of $711m and EPS of $0.21.

Read more: Oil slips as markets weigh impact of hefty US tariffs on India

For the third quarter, Okta guided to revenue of $728m to $730m, which would represent year-on-year growth 9% to 10%. The company also lifted its 2026 outlook to a range of $2.875bn to $2.885bn.

Todd McKinnon, CEO of Okta, said: “Our solid Q2 results are highlighted by continued strength in new product adoption, the public sector, Auth0, and cash flow. In the age of AI, Okta’s independence and neutrality will continue to give organisations the freedom to innovate securely and on their own terms.”

Shares in MongoDB (MDB) soared more than 31% in pre-market trading on Wednesday, after the database software provider reported strong quarterly results on Tuesday.


Leave a Reply