AI Earnings Showdown: Nvidia, Dell and CoreWeave Face Defining Week

AI Earnings Showdown: Nvidia, Dell and CoreWeave Face Defining Week

Technical setups and valuation metrics suggest volatility ahead as the AI trade is put to the test

Three major pillars of the artificial intelligence infrastructure market report earnings this week, and the results could determine whether the AI rally regains momentum or pauses for breath.

Key Indicators at a Glance

Nvidia (NVDA)

• Market capitalisation: ~$4.6 trillion
• P/E ratio: ~47 | Forward P/E: ~30
• RSI: 57 (bullish momentum)
• MACD: Positive (uptrend intact)
• Analyst consensus: Strong Buy
• EPS expected: ~$1.52 vs ~$0.89 last year

Dell Technologies (DELL)

• Market capitalisation: ~$81 billion
• P/E ratio: ~16 | Forward P/E: ~13
• RSI: 47 (neutral)
• MACD: Flattening
• Analyst consensus: Moderate Buy
• EPS expected: ~$3.54 vs ~$2.68 last year

CoreWeave (CRWV)

• Market capitalisation: ~$46 billion
• P/E ratio: Not meaningful (loss-making)
• RSI: 43 (weaker momentum)
• MACD: Negative
• Analyst consensus: Moderate Buy
• EPS expected: Negative (loss continues)

Recent Price Action: Consolidation After AI Euphoria

AI infrastructure stocks have cooled following an extraordinary 12-month rally. Nvidia remains near historic highs but has begun consolidating as investors question whether demand for next-generation chips can continue at its current pace.

Dell has traded in a broad range as enthusiasm over AI server orders competes with concerns around margin pressure. Meanwhile, CoreWeave has experienced heightened volatility, reflecting its growth-heavy but still unprofitable profile.

This consolidation phase mirrors typical late-cycle behaviour: strong fundamentals remain, but markets demand proof of continued acceleration.

Technical Analysis: RSI and MACD Signal Diverging Momentum

From a technical standpoint, Nvidia remains the strongest of the three.

• Nvidia’s RSI near 57 suggests upward momentum without entering overbought territory. Its positive MACD confirms trend strength. This setup often precedes continuation moves following earnings if guidance remains robust.
• Dell’s RSI near 47 places it in neutral territory, suggesting the stock may require a catalyst to break decisively higher. MACD signals are flattening, indicating reduced momentum.
• CoreWeave’s RSI in the low 40s and negative MACD highlight weakening short-term sentiment, increasing the likelihood of sharp post-earnings swings.

Support and Resistance Levels

Nvidia

• Support: $850
• Resistance: $950, then psychological $1,000

Dell

• Support: $110
• Resistance: $130

CoreWeave

• Support: $55
• Resistance: $70

A breakout above resistance on strong guidance could extend the AI rally, while weak commentary may test support zones quickly.

Fundamental Analysis: Valuation and Earnings Power

Nvidia’s higher P/E reflects its dominant AI position. However, the forward P/E of 30 suggests earnings growth is expected to catch up with valuation. With EPS forecast to rise roughly 70% year-on-year, investors are paying for continued acceleration.

Dell trades at a far lower multiple. Its forward P/E of 13 implies the market remains cautious despite strong AI server demand. If margins hold and backlog converts into revenue, Dell could see multiple expansion.

CoreWeave, still loss-making, trades on growth and backlog visibility rather than earnings. Its valuation depends heavily on financing conditions and continued AI infrastructure demand.

Analyst Sentiment: Confidence Remains Strong

Analyst ratings remain constructive:

• Nvidia: Overwhelmingly Strong Buy
• Dell: Majority Buy with some cautious voices
• CoreWeave: Moderate Buy, reflecting higher risk profile

The bullish skew indicates continued institutional confidence in AI infrastructure demand.

Outlook for Traders and Investors

This earnings cycle could act as a defining moment for AI equities.

If Nvidia confirms sustained chip demand, Dell demonstrates margin resilience, and CoreWeave maintains backlog strength, the AI trade could resume its upward trajectory.

However, any slowdown in guidance may trigger short-term corrections given elevated expectations.

For investors, Nvidia offers momentum and earnings growth, Dell provides relative value exposure, and CoreWeave represents higher-risk growth optionality.

The AI story remains intact — but this week’s earnings will determine whether the next leg higher begins now or later in the year.

Sources: (Investing.com, Reuters.com)