NVIDIA Earnings Could Ignite the Next Big Move in Tech Stocks

May 20 could be a substantial day for tech stocks. That’s when NVIDIA (NASDAQ: NVDA) is expected to post its next batch of earnings, which, according to analysts, could be explosive.

Analysts at Bank of America also reiterated a buy rating on NVIDIA ahead of earnings, with a price target of $320 a share. The firm cited earnings, the Computex trade show, the Vera Rubin launch, and a potential second-half cash return.

In addition, Oppenheimer reiterated an outperform rating, noting that, “We expect NVDA CY26 FCF to approach $200B with cash return spread between buybacks and seeding emergent AI ecosystem. If half of FCF is used for dividends, the yield would be nearly 2.5%. Reiterate Outperform, $265 target,” as quoted by CNBC.

NVIDIA is Expected to Post Another Solid Quarter

As stated earlier, the tech giant will release its Q1 2026 earnings report on May 20. Analysts are looking for revenue to range from $70 billion to $78 billion, or about 60% year-over-year growth. EPS is expected to nearly double. And its data center segment is expected to drive significant growth, supported by heavy spending from hyperscale customers such as Microsoft (NASDAQ: MSFT), Amazon (NASDAQ: AMZN), and Alphabet (NASDAQ: GOOGL).

Beyond the quarterly results, guidance may be a substantial catalyst for the stock. Investors are looking for reassurance that AI spending remains durable into the second half of the year.

Last quarter, NVIDIA posted revenue of $68.1 billion, up 73% year over year. Full-year sales totaled $215.9 billion, up 65% year over year. And according to CEO Jensen Huang, Blackwell remains a key revenue catalyst, while the upcoming Vera Rubin platform is expected to grab the baton.

“Computing demand is growing exponentially — the agentic AI inflection point has arrived. Grace Blackwell with NV Link is the king of inference today — delivering an order-of-magnitude lower cost per token — and Vera Rubin will extend that leadership even further,” he noted.

Hyperscalers are Spending Billions of Dollars

We also have to consider that NVIDIA will continue to benefit from accelerating AI infrastructure spending. In 2025, some of the biggest tech firms spent about $415 billion on AI infrastructure, which benefited NVIDIA. For 2026, that’s expected to balloon to $630 billion. Moving forward, according to NVIDIA, spending could reach $3 trillion.

Major companies are spending billions on AI ambitions.

In fact, Microsoft said it would spend $190 billion during the year. Amazon still plans to invest roughly $200 billion. And Alphabet said that capex spending, already elevated this year (between $180 billion and $190 billion) would significantly increase in 2027.

All of which is beneficial for NVIDIA, which shows no real signs of cooling off. It also tells us the AI bubble that some are concerned about isn’t popping any time soon, either.

Another important factor for investors is that NVIDIA continues to expand beyond just AI training chips. The company is increasingly positioning itself as the backbone of the broader AI economy, including inference, robotics, autonomous systems, networking, and enterprise AI infrastructure. That diversification could help support long-term growth even if certain parts of the AI market experience temporary slowdowns.

At the same time, NVIDIA’s software ecosystem, particularly CUDA, remains a powerful competitive advantage. While rivals continue to develop competing AI accelerators, many developers and enterprises remain deeply tied to NVIDIA’s platform, creating a level of customer stickiness that may be difficult to disrupt in the near term.

All Eyes Are on NVIDIA’s Guidance

As we near NVIDIA earnings on May 20, we are looking for a beat and raise.
The company heads into its May 20 earnings report with momentum firmly on its side. Between accelerating AI infrastructure spending, strong demand for its Blackwell and upcoming Vera Rubin platforms, and continued investment from hyperscale customers such as Microsoft, Amazon, and Alphabet, the company appears well-positioned to deliver another impressive quarter.

More importantly, investors will be closely watching guidance for signs that the AI spending boom remains intact through the second half of the year and beyond. If NVIDIA can once again beat expectations and raise forecasts, it could reinforce the company’s leadership in the AI revolution — and potentially provide another major catalyst for tech stocks overall.