What NVIDIA’s August 26 Earnings Could Reveal About the Sustainability of the AI Investment Cycle NVIDIA will report its fiscal 2027 second-quarter results on August 26, 2026. For a company that has repeatedly broken revenue records, another earnings beat would hardly be surprising. NVIDIA has exceeded its own revenue guidance quarter after quarter, while demand for AI computing infrastructure has continued to expand at an extraordinary pace. But I believe this earnings report matters for a different reason. The question is no longer simply whether AI demand exists. The more important question is whether the earnings being generated by the AI ecosystem can continue growing fast enough to justify the enormous amount of capital required to build it, particularly when the price of that capital is rising. There are therefore two questions I will be asking when NVIDIA reports. Can NVIDIA outrun the rising cost of capital? And, more importantly: Can NVIDIA’s customers earn enough on AI...
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