Nvidia will announce earnings after the bell on Wednesday. The expectations are – as they have been for more than a year now – monstrous. Nvidia is expected to report third-quarter earnings per share (EPS) of $0.74 on revenue of $33.2 billion, according to Bloomberg analyst estimates. Both figures would represent an increase of more than 80% compared to the same quarter a year ago.

Nvidia has consistently surpassed analyst estimates every quarter since ChatGPT launched in November 2022. The AI ​​chip leader’s stock reaction was more mixed on the day after earnings reports as expectations had become high, but they haven’t fallen for two quarters in a day. after publishing earnings figures since mid-2021.

That could change during Thursday’s trading day if Nvidia suffers a repeat of last quarter, when the company’s upbeat outlook wasn’t enough to impress investors and shares fell more than 6%.

“The company has not had a negative price reaction in the consecutive days following the earnings release since (the first quarter of 2021), when GenAI was not yet a phrase in investors’ lexicon,” said Julian Emanuel, who heads the company. Equities, derivatives department. , and Evercore ISI’s quantitative strategy team, wrote in a letter to clients on Sunday. “A positive reaction following the 11/20 release, following last quarter’s negative development, could somewhat mitigate the S&P 500’s decline in the short term, but is more likely to focus investors’ attention on the longer-term story.”

Target ( TGT ) shares tumbled in early trading Wednesday, falling more than 20% as the retail giant lowered its full-year guidance and missed Wall Street estimates for both third-quarter earnings per share and revenue.

Before the bell, Target said it now expects full-year earnings per share between $8.30 and $8.90, below the previous range of $9.00 to $9.70. The new expectations also came in well below the $9.61 earnings per share that Wall Street had expected.

The retailer also took a cautious stance on the outlook for the holiday shopping season. Read more about Target’s quarter from Yahoo Finance Editor-in-Chief Brian Sozzi here.

US stocks wobbled ahead of Nvidia’s (NVDA) gains on Wednesday, seen as a crucial litmus test for AI trading that could determine the direction of markets in the coming days.

The Dow Jones Industrial Average (^DJI) rose about 0.2%, while the benchmark S&P 500 (^GSPC) flatlined. Meanwhile, the tech-heavy Nasdaq Composite (^IXIC) fell about 0.2% after a mixed day on Wall Street Tuesday.

After surging Tuesday on increased optimism about the stock and earnings, Nvidia shares fell more than 1% in early trading.

Comcast (CMCSA) is looking to play offense in the ever-evolving media landscape, as the company said Wednesday it will spin off most of its cable networks into a new publicly traded company called SpinCo.

The stock rose as much as 3.5% in premarket trading before paring those gains.

The new company will house the majority of NBCUniversal’s cable television networks, including USA Network, CNBC, MSNBC, Oxygen, E!, SYFY and Golf Channel. These networks collectively generated approximately $7 billion in revenue over the past 12 months, Comcast said in its announcement.

Comcast’s Peacock streaming service and the NBC broadcast network will remain under the parent company.

“This transaction positions both SpinCo and NBCUniversal to deliver offense in a changing media landscape,” said Comcast President Mike Cavanagh.

Read the full story here.

Economic data: MBA Mortgage Applications (November 15)

Income: Nvidia (NVDA), Jack In The Box (JACK), Nio (NIO), Palo Alto Networks (PANW), Snowflake (SNOW), Target (TGT), TJX (TJX), Williams-Sonoma (WSM)

Here are some of the biggest stories you missed last night and early this morning:

Why Nvidia’s earnings could sink or swim ahead of the bull market

Target posts major revenue losses and lowers fiscal year expectations

Nvidia traders are bracing for a potential $300 billion increase in profits

Comcast will spin off cable TV channels such as MSNBC, USA

ECB warns of a ‘bubble’ in AI shares

‘We are concerned’: Walmart and Lowe’s warn of Trump’s tariff hike on costs

YF columnist Rick Newman: How Trump could be the next Biden

It wasn’t a great quarter for Target (TGT) – missed earnings, full-year profit warning and underperformance versus Walmart (WMT).

I also didn’t like the tone in the company from executives talking on the phone to reporters, of which I was one.

Considering Target had hyped a turnaround a few months ago, this quarter is a setback for investors who were warming up to the story again.

Here are five problems I saw in the results: