11-25-25: Earnings Season Ends with Nvidia’s Spectacular News

by Louis Navellier

November 25, 2025

Last week’s market volatility mostly surrounded the anticipation, announcement and then over-reaction to Nvidia’s quarterly announcement and guidance. On Wednesday, Nvidia announced that its third-quarter revenue surged by 62.4% to $57-billion, compared with $35.1-billion in the same quarter a year ago.

During the same period, the company’s operating earnings surged 60.5% to $37.75-billion ($1.30 per-share) compared with $23.28-billion or 81-cents per share a year earlier. The analyst community was anticipating revenues of $55.2-billion and operating earnings of $1.26 per-share, so Nvidia posted a 3.3% revenue surprise and a 3.2% earnings surprise. More importantly, Nvidia also raised its future guidance.

On the earnings call, Nvidia CEO Jensen Huang told investors that, “There’s been a lot of talk about an AI bubble,” but he responded: “From our vantage point, we see something very different.” I especially liked his comment that, “Blackwell sales are off the charts, and cloud GPUs are sold out.” Despite this great news, as often happens, the stock price originally rose before the short sellers attacked. Nvidia has been under attack from articles in Seeking Alpha and Substack insinuating that Nvidia makes “circular” alliances with companies that drive their stock prices higher, as these alliances allow companies to be able to raise capital to buy Nvidia GPUs. I would call that circular reasoning, not “circular alliances.”

With a company growing its earnings and sales over 60% higher, the bears need to be “creative,” but on Friday Barron’s had a great response: “Nvidia Is Now Misunderstood. Here’s What Mattered Most from Earnings,” and Bloomberg reported that Nvidia’s receivables have risen 89% and are outpacing sales, implying that some new customers may not have the ready capital to pay for the expensive Blackwell GPUs. The abrupt intraday reversal on Thursday in Nvidia and the overall stock market was largely caused by these bear attacks (plus higher receivables), which, in my opinion, are highly exaggerated. 

Specifically, I see the negative news media trying hard to imply that the emerging data-center boom will be constrained by construction delays as well as soaring electricity costs, but the simple fact of the matter is that the U.S. is the “Saudi Arabia of natural gas,” with massive proven reserves, so the U.S. has nearly unlimited resources to fund cheap electricity via natural gas-turbines. Although both GE Vernova and Siemens have 5-year order backlogs for their train-sized natural gas-turbines, data-centers can also operate on smaller turbines, which are already widely available, thanks to the aviation industry.

To demonstrate how the U.S. is poised to dominate data centers worldwide, Germany recently agreed to cut its planned natural gas-turbine development by half due to its pledge to decarbonize and rely on more renewable electricity sources. As a result, Germany’s high electricity prices are now subsidized by the German government in order to stem a manufacturing exodus that has been underway for the past several years due to high electricity prices, so the countries that are still striving to decarbonize simply cannot compete with America, since renewable electricity is much more expensive (and sometimes unreliable).

So why are so many countries, especially those in Europe, persisting with their NetZero goals, which make them uncompetitive compared to other countries, like China, India and the U.S., that use more fossil fuels? Europe is essentially accelerating their own economic decline. In America, we no longer have or enforce bans on natural gas and LNG production, so we are poised to continue to capture more business, especially with the trillions of dollars in on-shoring that the Trump administration has secured for data centers, plus the automotive, pharmaceutical and semiconductor industries.

The fact that Nvidia’s market capitalization is higher than the British, French, German and Italian stock markets says it all. In America, we have legal monopolies that are taking over the world. The Trump administration is embracing America’s economic dominance and hitting the accelerator pedal. Tariff inflation never materialized and the federal government shutdown hurt the Democratic opposition.

In other earnings reports last week, The Home Depot (HD) reported last Tuesday that the a “lack of storms” was partly responsible for its disappointing quarterly report. Specifically, CEO Ted Decker said, “Our results missed our expectations primarily due to the lack of storms in the third quarter, which resulted in greater than expected pressure in certain categories.” I guess not enough homes were destroyed in hurricanes this season! Decker added, “An expected increase in demand in the third quarter did not materialize” as “consumer uncertainty and continued pressure in housing are disproportionately impacting home improvement demand.” This is the fourth-quarter in a row in which Home Depot has missed analyst estimates. If I hear Home Depot’s CEO, instead of blaming a slow hurricane season, I would say that the housing market remains depressed and can best be shored up by another Fed key interest rate cut in December!

With Prosperity Rising, the Market Should Recover Soon

Heading into Thanksgiving, the Trump administration has lowered tariffs on beef, bananas, coffee and dozens of agriculture products in an aggressive attempt to lower food costs. In the wholesale commodity markets, many food groups are down so far this year. According to Trading Economics, egg prices are down 62% year-to-date (YTD), orange juice is down 71%, butter is down 30%, milk and cheese are down 8%, corn, wheat and rice are down 7%, 4% and 2% respectively, and poultry is 2% cheaper in 2025.

President Trump has repeatedly suggested that profits from his tariffs could be used to fund “dividend” checks to low-income and middle-income Americans. Trump wrote in Truth Social that, “A dividend of at least $2000 a person (not including high income people!) will be paid to everyone.” I’m not sure if this plan will actually happen. Treasury Secretary Scott Bessent has said that any proposal for $2,000-checks would require legislation, and the Supreme Court could also intervene by ruling against on the legality of the Trump tariffs, but Bessent’s comment about the tariffs are the clearest sign yet that the Trump Administration will likely have to seek the approval of Congress in order to issue the payments.

Even without passage of any legislation for any widespread “helicopter money” via massive check printing, prosperity can be addictive. With some help from the Fed, I expect interest rates to decline, based on China’s deflationary forces, plus a stronger dollar, making commodities and imports cheaper.

The latest ADP labor data may convince the Fed to cut key interest rates more than expected as the AI job apocalypse persists. Furthermore, recent data suggest that rental prices are starting to decline, and that may help the Consumer Price Index (CPI) decline, due to the fact that Owners’ Equivalent Rent is a major component. Lower crude oil prices are also helping to lower inflationary pressures, so the Fed will likely cut rates in December, due also to AI-related labor weakness as well as cooling inflationary forces.

The Labor Department is back up and running, releasing the September payroll report on Thursday. Specifically, the Labor Department said 119,000-jobs were created in September, which was much better than the economists’ consensus estimate of 51,000. However, the September unemployment rate rose to 4.4%, up from 4.3% in August, reaching the highest unemployment rate in the past four years.

Also notable, the July and August payrolls were revised down by a cumulative 33,000-jobs. In August, 4,000-payroll jobs were lost, which is only the second time that payrolls have declined since the Covid-19 shutdowns back in 2020. So, although the September payroll report looked good on the surface, the details about a higher unemployment rate and downward revisions were troublesome.

The FOMC’s minutes from their previous meeting were released on Wednesday, and it is clear that a lot of key Fed members were frustrated by the lack of economic data due to the recent federal government shutdown. Specifically, the October payroll report will be delayed until December 16^th, just after the December FOMC meeting, which will likely further frustrate the Fed. Since the Fed is data dependent, they may not cut rates at the December FOMC meeting, but since there will be an insightful ADP private payroll report for November in early December, that could influence a couple of FOMC voting members.

New York Fed President John Williams said during a speech in Santiago, Chile that he sees room in the near term to cut key interest rates again as the labor market softens. Specifically, Williams said, “I still see room for a further adjustment in the near term to the target range for the federal funds rate to move the stance of policy closer to the range of neutral, thereby maintaining the balance between the achievement of our two goals.”  Barron’s then reported that there is up to a 71% chance of a December Fed rate-cut.

World News Last Week – From Brazil, Venezuela, China and Western Europe

The COP30 climate summit in Brazil ended with an embarrassing fire in an outdoor exhibit area. More importantly, up to 80 countries pushed back on the drive toward eliminating fossil fuels. Of course, China and India have never really complied with the major climate guidelines, and the U.S. did not even attend the conference, since the Trump administration does not want to transition away from fossil fuels.

Complicating the dissent at recent COP conferences, many poor countries want aid from richer countries, but now that many European countries are in a recession or experiencing stagnant economic growth, there is essentially little money for aid. As a result, COP is expected to continue to shrink in the upcoming years.

In other interesting global news, President Trump said his administration may hold talks with Venezuela’s President Nicolas Maduro, as the U.S. military buildup near Venezuela’s borders grows. Specifically, President Trump said, “We may be having some discussions with Maduro, and we’ll see how that turns out,” adding, “They would like to talk.” The USS Gerald R. Ford aircraft carrier is now nearby, in the Caribbean, and the U.S. military recently carried out its 21^st strike on a boat transporting drugs.

In Asia, deflation is destroying China, and now Japan has announced that its economy decreased at a 1.8% annual pace last quarter. In Europe, Britain has chased out many of its wealthy residents and now is forced to raise taxes to curtail its bloated budget. France remains dysfunctional and Parliament cannot pass a budget due to the inability to implement pension reforms. Germany continues to commit economic suicide by curtailing gas turbines to appease to NetZero crowd, which is systematically destroying its manufacturing base. As a result, when you look around the world, the U.S. remains an economic oasis.

In summary, U.S. GDP growth is expected to reach 5% in 2026, and I do not expect this GDP growth to be inflationary. The U.S. dollar is expected to steadily appreciate in 2026 due to: (1) a strong domestic economy, (2) higher interest rates than other major economies, and (3) organic GDP growth from new household formation as well as our ability to assimilate immigrants. I realize the Trump administration will continue to be attacked by domestic and international media, but success is addictive and I expect 2026 to be the most productive year in decades! Essentially, 2025 has been like 1998 and next year could be like 1999, my best performing year ever, when I had multiple portfolios appreciate more than 100%!

Finally, President Trump dispatched a high-level delegation to Ukraine. Specifically, Army Secretary Dan Driscoll, along with two four-star Army generals, were scheduled to hold discussions with President Zelensky and other Ukrainian officials. Then Driscoll is planning to meet with Russian officials. The White House decision to turn to Driscoll and senior military officers is based on the belief that Moscow might be more open to military-brokered negotiations. A senior White House official said, “Secretary Driscoll is traveling to Ukraine to get a sense of facts on the ground. He will participate in meetings in Ukraine and report his findings back to the White House.” This senior White House official also said, “The president has been clear that it is time to stop the killing and make a deal to end the war.” If this happens, an end to major wars would provide extra bullish fuel for a major market recovery in 2026.

Navellier & Associates; own Nvidia (NVDA), Palantir Technologies (PLTR), and GE Vernova Inc. (GEV), in managed accounts. Navellier does not own Home Depot (HD). Louis Navellier and his family own Nvidia (NVDA), Palantir Technologies (PLTR), GE Vernova Inc. (GEV), via a Navellier managed account, and Nvidia (NVDA), in a personal account. They do not own Home Depot (HD) personally.