Nvidia, the leading supplier of AI chips, saw its shares slide 5% today as semiconductor stocks came under renewed selling pressure.
The company reported yesterday an earnings beat that surpassed investor estimates, with fourth quarter fiscal 2026 revenue reaching $68.1 billion, up 73% year over year.
For the full fiscal year, Nvidia generated $215.9 billion in sales, a 65% increase from the prior year. Management projected quarterly revenue of $78 billion going forward, exceeding Wall Street estimates that had forecast figures below $72.3 billion.
The earnings beat initially pushed the stock above $200 in post-market trading as investors reacted to the stronger guidance. However, shares opened lower today and continued to slide throughout the session, closing at $184.8, down more than 5%.
The stock’s weakness reflects investor concerns about the durability of enterprise AI spending rather than any shortfall in financial performance. While major cloud providers such as Alphabet and Amazon continue to ramp up capital expenditures, investors are increasingly questioning the pace of AI infrastructure investment and its near term return profile.
Other semiconductor names faced similar pressure. Broadcom fell 3.5%, Micron declined 3%, and AMD dropped 3.4% during the session.
The broader market also weakened, with the Nasdaq Composite retreating 1.2%, the Dow Jones Industrial Average shedding 0.4%, and the S&P 500 declining 0.5% as technology shares weighed on sentiment.
Source: https://cryptobriefing.com/nvidia-stock-decline-amid-market/
