Intel Corp INTC shares closed Tuesday’s session near flat and are down 5% over the last week as the broader semiconductor industry braces for NVIDIA Corp’s highly anticipated second-quarter earnings report, due after the market closes on Wednesday. The outcome of Nvidia’s results could have significant implications across the sector, driving market sentiment and influencing stock movements.

Analysts are expecting strong results from Nvidia. The forecast calls for earnings of 64 cents per share on revenue of $28.68 billion, a significant increase from the previous year. Nvidia’s stock, which has risen 165% year-to-date, could see further gains if the results exceed expectations and the company provides a positive outlook for artificial intelligence accelerators.

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What Else: Intel’s shares have dropped over 30% after reporting disappointing second-quarter financial results in July. The company earned 2 cents per share, missing the expected 10 cents. Revenue was $12.83 billion, slightly below estimates and down 0.9% year-over-year.

The company announced a $10-billion cost reduction plan aimed at cutting spending and headcount by over 15% by the end of 2024. Additionally, Intel will suspend its dividend starting in the fourth of 2024. The company said it committed to long-term dividend competitiveness.

CEO Pat Gelsinger acknowledged the challenging outlook but highlighted steps to improve efficiency and market position. For the third quarter, Intel expects a loss of 3 cents per share with revenue between $12.5 billion and $13.5 billion.

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