Jefferies expects strong Q2 beat for Nvidia amid Blackwell delays

Jefferies expects another “strong beat in July and strong guidance into October” from Nvidia (NASDAQ:NVDA), with beats of about $1B for both results and guide.

The semiconductor giant is expected to report second quarter results on August 28. The consensus estimates call for earnings per share of $0.64 on revenue of $28.54B.

“The bigger shift, though, is early volumes of Blackwell in Q4, and larger ramps into the back of 1H could look closer to small volumes in 1H and larger ramp in 2H,” the brokerage noted.

Jefferies analyst Blayne Curtis noted that there are two primary drivers moving estimates at the moment.

“Shorter term, the length and impact of the Blackwell delays are pushing out some of the revenue upside from Blackwell, with investors trying to parse out to what degree. Longer term, the debate has shifted from NVL volumes and content to the mix of DGX vs. MGX configurations.”

Nvidia stock was up 0.6% in morning trade on Friday.

According to a report in May, last-minute design flaws have forced Nvidia to delay the launch of its latest artificial intelligence chips by at least three months, affecting customers such as Meta, Google and Microsoft.

Curtis further added that demand for the company’s Hopper chips remains robust, and inventories and continued production should help bridge the gap to Nvidia ramping Blackwell.

Seeking Alpha analysts and Seeking Alpha’s Quant ratings are cautious and rated the stock a Hold, while Wall Street consider it a Strong Buy.

Earlier in the week, UBS retained its Buy rating on Nvidia, saying after a series of customer discussions and more supply chain work, the brokerage was making slight adjustments to its 2025 EPS model to $4.87 from $4.95.

The stock has more than doubled in value so far this year, compared to the over 16% rise in the broader S&P500 Index.