Investors face a critical week in the stock market as Nvidia prepares to release its quarterly earnings amid significant leadership changes. The chipmaker, which sits at the center of the artificial intelligence boom, reports results on Tuesday evening. This will be the company's first earnings report in its 27-year history as a public entity without Jensen Huang serving as chief executive officer. Huang resigned last week following a widening scandal involving alleged affairs. Consequently, the traditional big-picture commentary from the visionary executive will be absent, with interim CEO and longtime CFO Colette Kress stepping into the spotlight to defend the company's strategy.
The market has been nervous about Nvidia's performance recently. Shares have declined by 20 percent so far in November, putting the stock on pace for its worst monthly performance since the AI boom was ignited by ChatGPT in late 2022. Analysts are currently projecting revenue of $109.08 billion and earnings per share of $2.47 for the quarter. Key questions for the earnings call include whether Nvidia will maintain its forecast of 70 percent revenue growth for fiscal 2028, how the company plans to navigate potential tightening of U.S. export controls to China, and the status of its massive stock buyback program. The conference call is scheduled to begin at 5 p.m. ET.
Beyond Nvidia, the week features a historic initial public offering from Anthropic, the creator of the Claude chatbot. The fast-growing startup is set to price its shares on Wednesday night and begin trading on the Nasdaq on Thursday. According to recent securities filings, Anthropic aims to raise up to $64.4 billion, alongside a $26 billion private placement from major technology firms. This IPO serves as a major test for investor appetite in the AI sector. Bloomberg News reported that the deal is six times oversubscribed, indicating strong initial interest. Jim Cramer noted on Mad Money that Anthropic is crucial because it is one of the few companies at the end of the AI data center investment chain that must prove profitability to justify the broader spending.
Home Depot will also report earnings this week, kicking off the schedule before Tuesday's opening bell. The stock has rebounded strongly since early October, a period that coincided with the 10-year Treasury yield peaking above 5.3 percent. Given the company's reliance on housing market activity, its performance is highly sensitive to interest rates. Analysts are watching for signs of improvement in transactions and same-store sales. Revenue is expected to reach $42.79 billion, with EPS projected at $3.84. Investors will also await an update on the health of CEO Ted Decker, who has been on a leave of absence since August.
Off-price retailer TJX Companies is scheduled to report on Wednesday morning. The company needs to show that its Marmaxx division, which includes Marshalls and TJ Maxx, has recovered from a disappointing July quarter. CEO Ernie Herrman previously attributed the sales shortfall to inventory mismanagement, stating the company was not having the right goods in the right stores at the right time. He indicated that trends had begun to improve by the time of the August earnings call. Analysts expect revenue of $15.84 billion and EPS of $1.34. The market will look for evidence that these improvements carry through to the holiday quarter guidance, a factor that could influence competition with Ross Stores.
Palo Alto Networks rounds out the major tech earnings on Wednesday night. The stock has cooled after a significant rally from April to October, which may help temper expectations. The primary focus will be on how quickly artificial intelligence is driving demand for its cybersecurity solutions. Last quarter, the company's next-generation security annual recurring revenue grew by 63 percent year over year, a rate that accelerated from the previous quarter. Analysts project revenue of $3.31 billion and EPS of $0.97. Additionally, CEO Nikesh Arora may face questions regarding his reported interest in a top position at Nvidia.
The economic calendar for the week is relatively light, featuring retail sales data on Tuesday, industrial production figures, and minutes from the Federal Reserve's October meeting on Wednesday. Initial jobless claims are also scheduled for release on Thursday. This backdrop provides a clearer view of corporate earnings without the noise of major macroeconomic surprises, allowing investors to focus on the specific fundamentals of the reporting companies.
