multiple negative factors stimulated nvidia's stock price to fall significantly
2024-09-07
한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina
xinhua news agency, new york, september 7 (reporter liu yanan) the quarterly report released by nvidia, a global chip giant and us technology company, at the end of august triggered a negative market reaction, and its stock price momentum weakened significantly afterwards, with a cumulative decline of nearly 20%. the significant correction in stock prices highlighted the market's concerns about the uncertainty of nvidia's future prospects, led to a weakening of the stock market, and cast a shadow on the global chip market and the us economy.
data submitted by nvidia to the u.s. securities and exchange commission on the 5th showed that nvidia ceo huang renxun sold nearly 5.3 million shares of nvidia common stock between june 13 and september 5, worth about $630 million. as nvidia's largest individual shareholder, huang renxun held about 93.5 million shares as of march 25, accounting for about 3.8% of the company's total outstanding shares.
nvidia's stock price fell more than 4% on the 6th, marking its worst weekly performance in two years. the company's market value has shrunk by $406 billion in the past week alone.
traders work in the trading hall of the new york stock exchange on august 5. xinhua news agency (photo by guo ke)since nvidia entered the ai chip market, its stock price has soared, and its market value has exceeded $3 trillion this year. some analysts still positively evaluate nvidia's continued investment and innovation in the field of artificial intelligence, and believe that the company's investment in the next generation of large language models, such as gpt-5 and llama 4, may promote further development in the field of artificial intelligence. however, as the overall environment of the us economy and the overall technology industry changes, investors have begun to question nvidia's high valuation.
some investors believe that despite nvidia's strong performance in the field of artificial intelligence, its growth prospects and market value are questionable. analysts believe that nvidia's stock price decline is a direct reflection of the market's concerns about the bubble in technology stocks, and also indicates that the technology industry may face greater pressure in the future.
amid the multiple challenges of high inflation, high interest rates and a global economic slowdown, the decline in nvidia's stock price also reflects the market's concerns about the overall us economic outlook and global macroeconomic conditions. in particular, in the context of the chip industry's high reliance on global supply chains and market demand, any economic slowdown could lead to a further reduction in chip demand.
nvidia itself is also facing a series of challenges, including the delayed release of its new product blackwell and the pressure on its gross margins, which have a negative impact on the company's short-term performance. media reports recently said that the u.s. department of justice may conduct an antitrust investigation into nvidia's market dominance in the field of artificial intelligence chips, which also brings regulatory risks to the company.
in addition, nvidia faces increasingly fierce competition in the artificial intelligence and accelerated computing markets, not only having to deal with competition from large public companies, but also facing challenges such as internal cloud projects.
mizuho securities analyst jordan klein said on the 6th that nvidia's stock price is not expected to return to above $130 per share in the next few weeks. chip stocks as a whole seem to be stuck in a quagmire and are expected to continue to fall.
