08:10 AM EDT, 08/23/2024 (MT Newswires) -- NVIDIA ( NVDA ) is expected to deliver "stronger" Q2 results and "robust" Q3 guidance as enterprise spending on AI-related hardware continues to growth, Wedbush said in a note to investors on Friday.

Wedbush conferred with companies within Nvdia's supply chain and found "no slowing" in demand for AI-related hardware and few potential delays in delivering chips. Spending on servers and data centers also continues to accelerate.

"We are lifting our July and October expectations by roughly $2 billion each," Wedbush said. "Upside comes exclusively from higher data center assumptions, which more than offset slight downward adjustments we made in NVDA's gaming business."

Nvidia ( NVDA ) is expected to report its quarterly results on Aug. 28, after the closing bell.

Wedbush maintained its overweight rating on the stock and lifted its price target to $138 from a previous $120.

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