NVIDIA Corporation (NVDA.US) performance heavily anticipated, can the "AI computing power bull market narrative" crush the "AI bubble"?

With the title of "The Most Important Stock on Earth," the "AI Chip Dominator NVIDIA Corporation (NVDA.US) will announce its quarterly results after the U.S. stock market closes on Wednesday (Thursday morning Beijing time). The pressure test on the theme of AI computing power investment is also underway. Global investors focusing on AI computing infrastructure and the broader AI infrastructure boom are seeking evidence to demonstrate that the profits of this global chip giant are closely tied to the massive AI capital expenditure budgets of the four largest U.S. technology giants (hyperscalers) ranging from $650 billion to $700 billion, with strong growth expectations. At the same time, recent developments from hyperscalers announcing plans to launch more cost-effective AI ASIC chips based on their own research models highlight signs of risk for NVIDIA Corporation in the field of global AI infrastructure, particularly in the AI chip domain. Following the tremendous bull market trend in the U.S. stock market over the past three years, the stock price of NVIDIA Corporation, which holds a high weight in the Nasdaq 100 and S&P 500 indices, has only increased by about 2% so far in 2026. This is mainly due to the impact of the "AI doomsday narrative" triggered by a series of AI agent products from Anthropic, which has severely affected software stocks and overvalued technology giants. Moreover, the accelerated introduction of more cost-effective alternative AI ASIC chips (such as TPU) by hyperscalers and the adoption of a multi-vendor strategy, along with heightened competition from companies like AMD, have added to the challenges for NVIDIA Corporation. In the midst of this, AMD, a strong competitor planning to release a new version of its flagship AI server cluster facility later this year, and Alphabet's tech giant Alphabet Inc. Class C have emerged as strong competitors to NVIDIA Corporation in the AI computing infrastructure domain. An agreement between Alphabet and Claude Chat Siasun Robot & Automation, developer of the self-developed TPU AI computing cluster (belonging to the AI ASIC technology route), has positioned Alphabet Inc. Class C as a formidable competitor to NVIDIA Corporation in the field of AI computing infrastructure. Similarly, Alphabet Inc. Class C is reportedly in talks with Meta, the parent company of Facebook, one of NVIDIA Corporation's largest clients, to supply TPU-based AI computing infrastructure. NVIDIA Corporation's earnings are considered "event-driven" data, with options market implying an expected price volatility of about 5% after NVIDIA Corporation's earnings report, representing approximately $226 billion in single pricing fluctuation and a corresponding market capitalization of about $4.7 trillion. With its weight of about 7.8% in the S&P 500 index, just a mechanical effect of t...