Nvidia’s next earnings report, due Wednesday, will highlight whether the company can sustain its AI-driven growth as scrutiny intensifies over its financing model for customers. The Santa Clara-based chipmaker faces questions over its $500 billion financing arrangement with six major U.S. banks to support AI infrastructure buildouts, alongside a $105 billion guarantee for OpenAI’s Ohio data center lease.
Analysts project Nvidia’s second-quarter revenue to nearly double year-over-year to $92.18 billion, driven by a more than twofold surge in data center sales. The company’s shares have gained 11.8% in 2026, reflecting strong demand for its AI chips, including the upcoming Rubin processors slated for shipment this autumn. Revenue growth is expected to accelerate further in the third quarter, with sales projected to rise 82.8% to $104.20 billion.
Morgan Stanley estimates Rubin chips alone could generate nearly $9 billion in third-quarter sales, positioning Nvidia to maintain its market leadership against competitors like AMD and custom chip solutions from major tech firms. The firm noted that while Rubin may unlock long-term improvements in AI factory economics, assessing its market share gains will take time.
Nvidia CEO Jensen Huang has defended the company’s balance sheet strategy, arguing that its cash reserves justify supporting rapidly expanding, yet unprofitable, AI customers. He emphasized that the OpenAI data-center backstop is not circular financing, as OpenAI will cover lease payments while Nvidia funds physical infrastructure—data centers, power supplies, and facilities—designed to house its chips for decades.
Big Tech’s AI infrastructure spending is projected to exceed $730 billion this year, underscoring the scale of investment underpinning Nvidia’s growth. However, Brian Mulberry, chief market strategist at Zacks Investment Management, warned that Nvidia’s central role in AI financing could pose risks if adoption rates of AI tools fail to keep pace with expectations. The company’s adjusted gross margin is expected to remain around 75% for both the second and third quarters, reflecting strong pricing power in high-margin AI chips.
