# Something Big Could Happen To NVIDIA Stock on August 26

> Source: <https://247wallst.com/investing/2026/08/21/something-big-could-happen-to-nvidia-stock-on-august-26/>
> Published: 2026-08-21 12:00:49+00:00

**NVIDIA** **( NASDAQ:NVDA | NVDA Price Prediction)** heads into its

[Aug. 26 FY Q2 2027 report](https://247wallst.com/investing/2025/11/19/complete-nvidia-nvda-q3-earnings-coverage/)with fundamentals, capital return and a demand backdrop that make it one of the cleanest large-cap AI setups in the market. This is a compounder with a catalyst.

## Three Reasons The Setup Is Clean

**1. Guidance is conservative, and the beat streak is intact:** Management guided Q2 revenue to $91 billion plus or minus 2% with non-GAAP gross margin of 75%, and that guide excludes any Data Center compute revenue from China. NVIDIA has beaten EPS estimates by 5.42%, 6.58%, 4.84%, and 3.96% across the last four quarters. Polymarket implies a 0.953 probability of another beat on Aug. 26.

**2. Demand visibility is unprecedented:** Jensen Huang said “[demand has gone parabolic](https://247wallst.com/investing/2026/07/27/nvidia-ceo-huang-chips-industry-must-grow-10x-over-the-next-decade-to-power-100-billion-ai-agents/)” and NVIDIA reiterated “full confidence in the [$1 trillion in Blackwell and Rubin revenue](https://247wallst.com/investing/2026/02/25/cloud-capacity-is-sold-out-what-that-means-for-blackwell-could-change-everything/) we foresee from 2025 through calendar 2027.” Supply-related commitments now sit at $119 billion. That is booked backlog.

**3. Capital return has become material:** The board authorized an additional $80 billion buyback on top of $38.5 billion remaining, and NVIDIA raised the quarterly dividend from 1 cent to 25 cents. Q1 free cash flow was $48.5 billion. Retirement accounts want that combination.

## Head-To-Head Beat

The obvious alternatives are **Advanced Micro Devices** **( NASDAQ:AMD)** and

**Broadcom**

**(**. NVIDIA’s Data Center segment alone printed $75.2 billion in a single quarter, up 92% year over year, with

[NASDAQ:AVGO](https://247wallst.com/companies/AVGO/))[Data Center Networking up 199%](https://247wallst.com/investing/2026/08/14/3-ai-infrastructure-stocks-powering-the-data-center-boom-in-august/). AMD’s data center franchise is a fraction of that scale. Broadcom is a real AI ASIC winner, but it trades at a higher earnings multiple than NVIDIA’s P/E of 44 while growing slower than NVIDIA’s 85.2% Q1 revenue growth. You are paying up for less growth.

## One Risk, Dismissed

China. NVIDIA shipped zero H20 units to China in Q1, still beat, and still guided to $91 billion for Q2 with China excluded. If [export restrictions](https://247wallst.com/investing/2026/03/06/analyst-every-bureaucratic-delay-hands-ai-markets-directly-to-huawei/) were a thesis breaker, the numbers would already show it. They do not. Still, the setup into the Aug. 26 after-close report favors continued execution against a conservative guide.

*Contact [email protected] for any questions or corrections.*