Nvidia (NASDAQ: NVDA) has become one of the most-watched stocks on the planet in recent years. That’s because the company has built an empire in the key growth industry of today and tomorrow: artificial intelligence (AI). The current $200 billion AI market is forecast to reach beyond $1 trillion by the end of the decade, signaling enormous opportunity for companies that get in early and secure their dominance.
And Nvidia has done just that, taking about an 80% share of the AI chip market and expanding into many other related products and services to offer customers an entire ecosystem of AI. The company already is reaping the rewards, generating revenue growth in the double or triple digits quarter after quarter — and delivering strong profitability on sales.
A company’s earnings reports always are extremely important moments, offering investors the latest look at business trends, and of course, financial performance. And Nvidia has one of these big moments coming up, on Feb. 26 when it reports fiscal fourth-quarter 2025 earnings.
Here are my top three predictions ahead of this much-awaited report.
This quarter may not be the easiest time to score an earnings beat, and for one big reason: Nvidia is in the middle of launching a major new product, its Blackwell architecture. This product is customizable, with seven different chips, various networking options, and more — and all this means the rollout is complex and could involve extra costs that weigh on margins.
Nvidia even said its gross margin, recently in the mid-70% range, will narrow to the low-70% during the period.
But even in this context, I think Nvidia may continue its record of surpassing expectations, as it’s done for at least the past four consecutive quarters. During those periods, it’s surpassed earnings-per-share forecasts by 5.6% to more than 11%. This is driven not only by the demand for Nvidia’s AI products, but also by the company’s ability to manage its costs and work efficiently.
And this ability should help Nvidia maximize the benefits of the Blackwell launch — for example, turning orders into revenue growth — while minimizing the negative impact. In its latest earnings call, Nvidia already increased its forecast for Blackwell revenue in this quarter to be reported on Feb. 26.
The average analyst estimate calls for Nvidia to report EPS of about $0.84 for the fourth quarter, and in its most recent report, Nvidia predicted revenue of $37.5 billion. But I wouldn’t be surprised if Nvidia went to the upside across both measures.
