Nvidia (NASDAQ:NVDA) is set to take the spotlight this afternoon as it prepares to unveil its highly anticipated October quarter (F3Q25) earnings.
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Anyone vaguely interested in the stock market will know by now that Nvidia’s standing as the AI darling has been built on the almost insatiable demand for its best-in-class AI chips.
So, what should investors expect from the upcoming earnings report?
Rosenblatt’s Hans Mosesmann, an analyst who ranks in 5th spot amongst the thousands of Wall Street stock pros, thinks there could be “modest upside” for Nvidia’s October quarter and January quarter outlook, a take based on “continued moderated strength for Hopper as the company transitions into the slightly delayed Blackwell ramp.”
That said, while Mosesmann has been one of the Street’s biggest NVDA bulls, he issues a note of caution.
“Shares are modestly at risk, we believe, on an over exuberant near term inflection that we believe plays out in CY1H25,” the 5-star analyst says.
In essence, Mosesmann advises investors to manage their expectations in the short term. The real payoff, he suggests, lies in the year ahead. Nvidia’s prospects look particularly compelling as the Blackwell ramp is expected to surpass Hopper in performance while demonstrating resilience against competition from AMD and ASIC accelerator players like Broadcom and Marvell.
“The way to look at Nvidia’s roadmap is one of increasing value,” Mosesmann went on to say, “movement in vertical delivery of compute (HW and SW), and increasing interconnect attachment (NICs, switches, etc.) and full CSP delivery in the data center.”
As for the October quarter numbers, consensus expectations for $33.1 billion at the top-line (up 83% year-over-year) and adj. EPS of $0.71 at the bottom-line are beatable, based on the strong Hopper sales, and additional strength in networking products. The analyst sees gross margins coming in in-line with the Street’s forecast of 75%.
It’s a similar story for the F4Q25 guide (January quarter), with the analyst expecting “strong demand” for both data center and networking products, which should result in Nvidia guiding above the Street’s call for revenues of $37 billion (up 67% y/y) and adj. EPS of $0.77.
To this end, Mosesmann rates NVDA shares a Buy, while his Street-high $200 price target factors in additional gains of 37% over the next year. (To watch Mosesmann’s track record, click here)
Overall, Nvidia has most of Wall Street’s analysts on its side. Out of 42 recent reviews, 39 recommend a Buy, while only 3 suggest a Hold, naturally culminating in a Strong Buy consensus rating. In the year ahead, the shares are anticipated to add 13.5%, considering the average price target stands at $165.18. (See NVDA stock forecast)
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Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
