Nvidia Earnings Will Put The AI Trade to Another Test . Wall Street Expects a $92 Billion Quarter .

Nvidia is preparing to deliver one of the most closely watched earnings reports on Wall Street, with investors looking for evidence that the artificial intelligence boom still has enough momentum to justify the enormous sums pouring into chips, data centers and computing infrastructure.The chip giant is expected to report fiscal second-quarter adjusted earnings of $2.09 per share on revenue of roughly $92 billion, according to Bloomberg consensus estimates cited by Yahoo Finance. That would represent a staggering 96% increase in revenue from a year earlier and another acceleration from the previous quarter.But Nvidia's results will arrive at a particularly important moment for the AI trade.

Chip stocks have struggled to maintain their momentum following a steep selloff in July, when concerns resurfaced over whether Big Tech companies will ultimately generate sufficient returns from the hundreds of billions of dollars they are spending on AI infrastructure.Recent results from Microsoft, Amazon and Google helped ease some of those concerns. Strong growth in their cloud businesses showed continued demand for AI computing capacity.

First reported by ibtimes.com.