Nvidia Q4 Results Today: Will Silicon Valley's AI leader lift Wall Street's ‘Mag Seven’ from correction territory?

Nvidia Q4 Results Today: Nvidia Corp.’s fourth-quarter earnings due after Wednesday’s close are set to dictate whether artificial intelligence (AI) can regain its status as the key driver behind Wall Street gains in the last two years — or trigger more weakness after the elite Magnificent Seven group of technology stocks fell into correction territory. Nvidia's quarterly results, seen as a barometer of AI chip demand, could be a turning point for global AI stocks.

Nvidia’s Q4 earnings may be its most critical yet, coming after the China-based startup DeepSeek rattled the outlook for AI infra needs. While Nvidia shares have been trending higher in February, they remain below their pre-DeepSeek levels. The results will come when investors are on edge over lofty valuations and uncertainty about massive spending on AI. 

Also Read: Nvidia Q4 Results Preview: Will DeepSeek impact the AI bellweather’s earnings report? Here’s what Wall Street expects

Nvidia Q4 Results Today: Here's what Wall Street expects

According to Bloomberg, the analyst consensus for Nvidia’s net 2026 earnings has stayed steady over the past quarter. Meanwhile, the revenue view is up about two per cent, a sign Wall Street firms are not trimming their estimates because of DeepSeek or anything else. In Wednesday’s earnings release, analysts expect Nvidia to report more than $38 billion in quarterly revenue, a 73 per cent increase from the same period a year earlier.

According to Reuters, investors will look for signs that the company is transitioning smoothly to its new Blackwell design from the older Hopper lineup. According to Wall Street analysts, the shift may cause tech customers to slow purchases until the new products are better available. Over the past two years, Nvidia has led the AI trade and the Magnificent Seven Group. 

US mega caps have benefited from the trend. Investors have raked in gains from the AI boom led by the so-called "Magnificent Seven," a group of tech giants that includes Nvidia, Microsoft, and Tesla, since the debut of ChatGPT in November 2022—hailed as AI's "iPhone moment." But lately, the group, which also counts Amazon, Alphabet (Google), Meta (Facebook), has taken a few hits.

Also Read: ’Magnificent Seven’ Review: Nvidia soars 183% YTD to lead US tech pack in 2024; Meta ranks second; Full list

Nvidia Q4 Results Today: Will the AI bellweather lift Mag Seven?

The Mag Seven group of stocks added roughly $11 trillion in market value between the debut of ChatGPT in November 2022 and a peak in mid-December 2024. Nvidia, the world's second most valuable company, has been the top beneficiary of Wall Street's AI trade, adding $2.7 trillion in market value in that time. 

The AI chipmaker, whose staggering 170 per cent rally in 2024 significantly boosted S&P 500 gains, has slumped this year. Nvidia's near-1,800 per cent surge in the last five years has made it the leader of the Mag Seven.

Those stocks have on average more than tripled in that time, while the S&P 500 has gained about 65 per cent. So far in 2025, those stocks have stumbled. The Mag Seven is down about 4.5 per cent, while the rest of the S&P 500 has gained about 4.4 per cent, so the entire index has eked out a mere one per cent rise.

The Magnificent Seven stocks have retreated from their late 2024 peaks, and the group is in correction territory. Last month, the launch of low-cost AI models from China's DeepSeek wiped off more than half a trillion dollars from Nvidia's market value in a day. In addition to the tumult, an analyst report suggested that Microsoft was scrapping some data centre leases. 

Also Read: Nvidia Q3 results preview: Wall Street traders brace for $300 billion swing in market value, stock up 200% YTD

However, Nvidia has routinely exceeded analyst estimates over the last two years and assuaged investors' worries about the spending spree. The magnitude of those revenue beats has been narrowing as the company faces tough comparisons from robust growth a year ago. That has weighed on the market reaction after its results over the past two quarters.

With inputs from Bloomberg, Reuters

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