Episode

Why Nvidia Stock Can FALL After Great Earnings — Jay Hatfield Explains

Podcast
Biz Talk Today TV
Published
Aug 26, 2026
Duration seconds
184
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Summary

Nvidia reports earnings today—and even another blockbuster quarter may not be enough to send the stock higher. In this timely clip from Hatfield Economics, Jay Hatfield, CEO of Infrastructure Capital Management and CIO of the ICAP ETFs, including $QVOL, explains an overlooked Wall Street dynamic surrounding Nvidia: institutional investors may simply own as much NVDA as their portfolios can handle. Hatfield argues that Nvidia’s enormous weighting and widespread institutional ownership can make it difficult for portfolio managers to add substantially to their positions—even when the company delivers terrific results. At the same time, hedge funds can use Nvidia as a hedge or short against other semiconductor positions. That creates the counterintuitive possibility of Nvidia beating expectations while NVDA shares still sell off. The timing couldn't be better. Nvidia is scheduled to report its fiscal Q2 2027 results today, August 26, after the market closes, and Wall Street is treating the report as a major test of the AI trade. Options markets are pricing roughly a 5.4% post-earnings move, equivalent to about $280 billion in market value. Hatfield also explains why he sees potentially greater upside elsewhere in semiconductors, including Marvell Technology, and why size, valuation and portfolio concentration increasingly matter as investors hunt for the next major AI winner. Hosted by Todd M. Schoenberger on Biz Talk Today TV. The question heading into Nvidia earnings: What happens when a company delivers great numbers—but Wall Street is already full up on the stock? 🔗 Website: https://biztalktodaytv.com 📧 Contact on Email: [email protected] 📲 Download the Biz Talk Today TV app on Apple & Android devices. 📢 Disclaimer: The views and opinions expressed on this pro…