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Nvidia (NASDAQ:NVDA) is set to beat Wall Street’s expectations once again, driven by surging demand for AI and its new Blackwell architecture.
With a strong revenue forecast of $48 billion for the second quarter and expectations for continued growth through 2026, the company’s Data Center segment remains the primary growth engine, positioning Nvidia for sustained leadership in AI infrastructure.
Cantor Fitzgerald analyst C.J. Muse has upped his price forecast for Nvidia to $240, citing the company’s Blackwell-driven Data Center expansion and the rapid acceleration of AI investments.
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Muse maintains his Overweight rating on the stock, noting that Nvidia’s revenue is likely to surpass consensus estimates through 2026.
Muse pointed to surging demand for artificial intelligence computing and the company’s new Blackwell architecture ramp.
The analyst expects Nvidia to deliver a strong beat again and raise when it reports fiscal second-quarter results on August 27. He projects revenue of $48 billion and EPS of $1.06, compared with consensus expectations of $45.8 billion and $1.00 per share.
Data Center sales remain the core driver, with Muse forecasting $42.9 billion from that segment alone. Looking ahead to the October quarter, he estimates $55 billion in revenue and $1.25 in EPS, again ahead of consensus at $52.6 billion and $1.18, with Data Center contributing about $49.9 billion.
For the long term, Muse models Nvidia’s Data Center revenue at $200 billion in calendar 2025 and $300 billion in calendar 2026, well above current Street forecasts of $181 billion and $235 billion, respectively.
He projects earnings power of $4.85 per share in calendar 2025 and $8.00 in calendar 2026, compared with consensus at $4.37 and $5.89.
He highlighted accelerating hyperscaler capital expenditures, expected to grow 57% in calendar 2025 and another 20% in calendar 2026, a $1.5 trillion global sovereign AI investment pipeline, and increasing enterprise adoption as the key drivers of this expansion.
Muse acknowledged ongoing headwinds in China due to H20 export restrictions and tariffs, but argued that most sell-side models already exclude that revenue.
Any unexpected shipments to the region could therefore provide upside to current estimates. He also noted that Nvidia’s gross margins should reach the mid-70% range by late calendar 2025, supported by the mix shift to Blackwell products and ongoing efficiency gains.
The analyst underscored that Nvidia’s roadmap beyond Blackwell, including its Rubin platform, further strengthens visibility into calendar 2026 and positions the company for sustained leadership in AI infrastructure.