Investing.com -- TD Cowen stated in a note on Tuesday that it sees upside to estimates across compute and networking semiconductors but is neutral heading into results from Nvidia (NASDAQ: NVDA) and Broadcom (NASDAQ: AVGO), arguing the issues that matter most to investors will not be resolved this quarter.

"We see upside to numbers but are neutral into the print on NVIDIA and Broadcom given key debates are unlikely to be settled on earnings, while positive on Credo and Marvell," analyst Joshua Buchalter wrote.

The firm said sentiment has flipped from July's pessimism, with capital expenditure and fundamentals pointing to a strong 2027 and oversupply concerns looking less salient against what it called relentless demand.

Hyperscale and neocloud builders have reaffirmed or raised capex guidance, TD Cowen noted, while open models are now viewed as an incremental driver of compute demand rather than a headwind.

On Nvidia, the brokerage expects a typical beat-and-raise with visibility extending through 2027, but said "earnings that should have been a positive catalyst for the stock haven't been in recent quarters, and we don't expect this dynamic to change."

Buchalter added that investors are likely to focus on gross margin trajectory amid rising HBM prices, roadmap updates and new financing arrangements.

For Broadcom, TD Cowen said debates over TPU share and non-TPU ASIC timelines are unlikely to be settled on the call. The firm also raised its 2030 datacenter total addressable market estimate above $1.6 trillion.

“We remain cautious on non-TPU roadmaps (despite management's disclosed specific timelines) given past slips, and we think investors will be looking for explicit upside and timeline commentary to drive the stock,” wrote Buchalter.