Wedbush’s Ives: Nvidia GTC event to act as a ’wake-up moment for the tech bulls’

Investing.com -- Nvidia’s (NASDAQ:NVDA) upcoming GTC conference is expected to act as a “wake-up moment for the tech bulls,” according to Wedbush analysts led by Daniel Ives.

Over the past month, tech stocks have come under pressure due to concerns over U.S. President Donald Trump’s trade policies, macroeconomic uncertainty, and broader risk-off sentiment.

However, Wedbush argues that these factors do not change the fundamental demand drivers behind AI, which remains the core of what they call the “fourth industrial revolution.”

At the GTC event, CEO Jensen Huang is expected to emphasize Nvidia’s leadership in AI, particularly highlighting "Blackwell ’off the charts demand’ from enterprise customers" as businesses worldwide expand AI adoption, analysts said.

Nvidia’s chips, they note, have become essential to both enterprise and consumer AI applications. The analysts also expect Huang to discuss next-generation innovations, including the Rubin architecture, quantum computing, and ongoing concerns about DeepSeek.

Furthermore, the event is likely to focus on AI’s physical applications, with autonomous technology and robotics seen as the "holy grail of AI use cases."

Wedbush maintains that while near-term policy uncertainty, including Trump’s stance on trade and tariffs, may create short-term volatility, it does not alter the broader AI investment cycle.

“Will there be some near-term headwinds from Trump Policy...yes...but this in no way changes the $2 trillion of AI Cap Ex on the horizon,” Ives and his team wrote.

Also, they believe that valuations for tech giants like Nvidia (NASDAQ:NVDA) and Microsoft (NASDAQ:MSFT) are not expensive and do not fully reflect their long-term growth potential.

"We clearly need stable Trump policy and investors need to know the rules of the game..but that will all happen over the coming months and we do not believe this dramatically changes the trajectory of the AI Revolution," the analysts continued.

"We believe this week’s Nvidia GTC Conference will be a turning point for tech stocks as the Street starts to refocus on the AI Revolution and the massive tech spending ahead for the coming years."