This week, Wall Street is set for notable activity, driven primarily by Nvidia, an AI chipmaker that is anticipated to release its fiscal fourth-quarter earnings. However, Nvidia is not the only company in the spotlight. Salesforce is scheduled to report alongside two major retailers, Home Depot and TJX Companies, with additional attention on Qnity Electronics, a recent DuPont spin-off.
Nvidia’s earnings report will provide key insights into the ongoing development of AI technologies, with Wall Street predicting quarterly revenues of approximately $65.87 billion, reflecting a robust 67.5% year-over-year growth. Earnings per share are expected to reach $1.53, marking a 72% increase compared to last year. Investors will closely monitor the fiscal guidance for the first quarter of fiscal 2027, particularly regarding its share of a projected $700 billion in capital expenditures from hyperscalers. Analysts will also scrutinize Nvidia’s gross margin outlook, especially in light of rising memory costs across the semiconductor sector.
On the same evening, Salesforce will release its earnings, which are projected at $3.04 per share on $11.16 billion in revenue. Investor focus will likely revolve around the company’s AI offerings and how its Agentforce product is being adopted. The results will be vital in assessing whether Salesforce can maintain its dominance against emerging AI-driven startups that may threaten its market share.
In the retail sector, Home Depot will report its earnings on Tuesday, with expectations of $2.54 per share on $38.12 billion in revenue. Discussions are expected to hinge on consumer behavior in professional and DIY markets amid changing interest rates, particularly following a recent dip in mortgage rates. Insights into the integration of past acquisitions in the building-products distribution space will also be key points of interest.
Meanwhile, TJX Companies, known for its value-oriented retail brands like TJ Maxx and Marshalls, will release its performance results shortly after Home Depot. The consensus calls for earnings of $1.39 per share on sales of $17.36 billion. Investors will examine shopping trends across different income groups and the reasons behind expected same-store sales growth of around 3.83%.
On Thursday, Qnity Electronics, which produces materials critical for semiconductor manufacturing, will announce its first standalone earnings. Analysts are looking for earnings of 58 cents per share on $1.16 billion in revenue, amid growing demand for AI-related semiconductors. Qnity’s partnership with major high-bandwidth memory producers will be a focal point, as will any potential impacts from pricing spikes on sales outside the data center market.
Additionally, the economic landscape will be influenced by the upcoming producer price index (PPI) data to be released on Friday, which measures the average changes in prices Italian producers receive for their output. This data could provide insight into inflationary pressures and impacts on future consumer prices.
As the week unfolds, market participants will be paying close attention not just to corporate earnings but also to broader economic indicators, weighing their potential implications for portfolio performance amidst the dynamic landscape of technology and retail sectors.
