Nvidia’s Stock Jumps ahead of Q1 Earnings Report

Nvidia stock shot up today but could suffer greatly once the quarterly earnings are reported on Wednesday.

Timothy St. John•Tuesday, May 27, 2025•2 min read

Nvidia stock is bound to be affected by the quarterly report coming on Wednesday.

Quick overview

Nvidia's stock rose 3.02% following a delay on new tariffs from President Trump.
Analysts predict a 66% increase in Nvidia's earnings for Q1, bolstered by a new deal in Saudi Arabia.
Concerns remain over Nvidia's sales losses due to fines and restrictions on selling in China.
Investors are wary of potential competition in the AI tech market, although new rivals have yet to launch.

On Tuesday morning, as the stock market opened after a long weekend, Nvidia (NVDA) stock climbed an impressive 3.02% following a delay on new tariffs.

Nvidia sales may take a hit from the fines received for selling in China.

As President Donald Trump holds off on new tariffs for the European Union, stocks have a chance to catch back up, and Nvidia stock is wasting no time in going bullish. The AI chip manufacturer saw its stock rise 3.02% on Tuesday after the opening bell, and the company is expecting to report large gains during their Q1 earnings report scheduled for Wednesday.

Analysts have pegged Nvidia’s earnings to improve by 66% for the first fiscal quarter report, as the company has recently made a deal to sell its products in Saudi Arabia. That deal alone could bring in billions for Nvidia. But investors who have been paying attention this year will remember that the company ran into trouble trying to sell its products in China.

There, they have met with steep fines from the United States on some of their higher end processing units which they are not allowed to sell to China as the United States tries to keep the edge in the AI technology race.

Where Is Nvidia Stock Headed?

Wednesday’s report will have a significant impact on Nvidia’s stock price. Because of all the problems the company has encountered this year with tariffs, fines, and even allegations of running a monopoly in China, there is concern that Nvidia’s profits have taken a sizable hit.

There is also worry from investors that new competitors are taking Nvidia’s market share in the rapidly growing AI tech market. However, the strongest competition has only been announced and has not yet entered the market, and that includes new processing units from Huawei as well as the purportedly much cheaper alternatives for AI processing that are possible but not yet ready for the market.

Due to tight restrictions on Nvidia for selling in China, placed on them by the United States government, analysts expect about $1 billion in sales to have been lost. That could continue to add up for them over the rest of the year, and this is the biggest concern for investors who are eagerly anticipating the first quarter numbers on Wednesday.

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ABOUT THE AUTHOR See More

Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.