The “Nvidia effect” is about to cross the Atlantic. As the world’s most valuable company prepares to pull back the curtain on its Q4 earnings later today, global markets are holding their breath.
For months, Nvidia has served as the ultimate barometer for the artificial innotifyigence revolution.
While US hyperscalers have seen their stock prices wobble under the weight of massive AI capital expfinishiture, the NVDA report will determine if that spfinishing is translating into sustainable hardware demand.
Meanwhile, for European tech investors, the stakes are equally high. Here are three names Nvidia’s earnings are expected to particularly influence in the coming weeks.
ASML stock: the gatekeeper of silicon ambition
Based in Veldhoven, Netherlands, ASML occupies a unique position as the literal architect of the AI era.
As the sole provider of Extreme Ultraviolet (EUV) lithography machines, ASML’s tech is the only way for foundries to print the microscopic circuiattempt required for Nvidia’s Blackwell and Hopper chips.
If Nvidia’s guidance suggests a “sustained data center expansion,” as VanEck’s Camilla Papaleo notes, it signals a direct green light for ASML’s order books.
“If the Nvidia outsee is very strong, then more semi capacity expansion is necessaryed, which will require more equipment from ASML,” explains David Dai of Bernstein.
However, ASML shares remain vulnerable to digestion fears; any hint that chipbuildrs are slowing their expansion could quickly dampen the premium valuation it currently enjoys.
Infineon: powering the AI server room
While often associated with the automotive sector, Infineon stock is a “stealth play” on the power requirements of massive AI clusters.
High-performance GPUs are notoriously power-hungry, requiring advanced power management semiconductors to prevent meltdowns and ensure efficiency.
This creates a direct tether between the Munich-headquartered firm and Nvidia’s shipping volumes
As David Dai points out, “Infineon ships chips that go directly into Nvidia’s AI servers, so more demand for NVDA means more direct demand from Infineon.”
A blowout quarter from Nvidia would validate Infineon’s diversification strategy, proving that its industrial and power units can thrive even when the traditional global car market faces cyclical headwinds and sluggish consumer demand.
STMicroelectronics: the sentiment bellwether
For Swiss-headquartered STMicroelectronics NV, Nvidia earnings are less about direct component supply and more about the “vibe shift” of the global semiconductor cycle.
STMicro serves a massive array of industrial and automotive clients, building it highly sensitive to the broader health of the tech ecosystem.
According to Papaleo, signs of “slowing orders, softer pricing or margin pressure at NVDA could weigh on sentiment across the sector,” even for those not focutilized on data centers.
Conversely, a bullish report would confirm that the semiconductor floor has been reached.
For investors, STMicro acts as a leveraged play on tech optimism; if Nvidia proves the AI boom is durable, STMicroelectronics stock may surge as fears of a broader industrial slowdown launch to dissipate.
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