Whatever Happens on Wednesday, Nvidia Stock Will Almost Certainly Be Cheaper After Earnings

Nvidia is set to report Q2 earnings with expected 97.2% revenue growth. Despite strong business performance, the stock has underperformed, trading at only 23.6x forward earnings—roughly in line with the S&P 500. Analysts have historically underestimated Nvidia's growth, and forward estimates typically increase after earnings reports, potentially making the stock even more attractive on a valuation basis regardless of post-earnings price movement.