Nvidia (NVDA) Powers AI Stocks Higher Ahead of Its Q1 Earnings Report

AI stocks lit up the market on Tuesday as investor excitement built ahead of Nvidia’s (NVDA) earnings release, due after the market closes today. While Nvidia saw a 3.2% increase, the real excitement came from companies within its orbit. Power chipmaker Navitas Semiconductor (NVTS) jumped nearly 50% after it announced a deal with Nvidia, while Coreweave (CRWV) and SoundHound AI (SOUN) also posted double-digit gains as investors bet on the strength of Nvidia’s expanding ecosystem.

The rally extended beyond AI names. Broader indexes climbed, with the the Nasdaq 100 (NDX) up 2.5%, the the S&P 500 (SPX) rising 2.1%, and the Russell 2000 jumping 2.5%. Markets responded positively to President Trump’s decision to delay a major tariff hike on European imports, along with an upbeat U.S. consumer confidence report.

Navitas Skyrockets After Nvidia Deal

Navitas Semiconductor became the day’s standout performer, soaring nearly 50%. The spike followed an already massive 150% gain last Thursday after the company announced it would supply power chips for Nvidia’s next-gen AI platforms.

Navitas, previously valued at under $1 billion, has now positioned itself as a key piece of Nvidia’s hardware puzzle, giving investors a compelling reason to pile in.

Coreweave and SoundHound Ride the Nvidia Wave

Nvidia’s growing AI dominance is sending ripples far beyond the chip sector. Coreweave, a cloud computing company with deep Nvidia ties, jumped over 20%. Since going public in late March, the stock has more than tripled — a surge fueled by its role in running AI workloads using high-performance infrastructure.

Meanwhile, SoundHound AI, a company specializing in voice recognition, gained 16% despite Nvidia exiting its stake last quarter. The company is up nearly 400% since Nvidia revealed its investment in early 2024. Just yesterday, Piper Sandler analyst James E. Fish called SoundHound an “early leader” in conversational AI as they initiated coverage on the stock. They gave it an Overweight rating with a $12 price target, suggesting the shares could still rise about 7.9%.

All Eyes on Nvidia’s Results

Now, all attention turns to Nvidia’s Q1 earnings report. Wall Street expects Nvidia’s Q1 FY26 earnings per share to surge to $0.73, up from $0.61 a year ago. At the same time, revenue is projected to climb more than 66% to $43.34 billion, according to TipRanks’ analyst forecast page.

More than just a chipmaker, Nvidia has become the face of the AI rally — and today’s numbers could either strengthen that position or raise doubts about its momentum. Investors will focus not only on top- and bottom-line results but also on forward guidance, especially around AI demand, data center expansion, and new hardware partners.

Many will also be listening for updates on the rollout of its next-gen Blackwell architecture, expected to play a big role in future revenue. A strong report could supercharge already hot AI names, while a disappointment may cool the frenzy.

Is Nvidia Share a Good Buy?

According to TipRanks, NVDA stock has a Strong Buy consensus rating based on 32 Buys, four Holds, and one Sell assigned in the last three months. At $164.21, the Nvidia stock price target implies a 21.19% upside potential.

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