The correction wave appears to be finally hitting the coast of Nvidia as the company shares drop further in what is being deemed the summer blues at Wall Street. The company's shares, which had an astronomical rise in the first quarter and a half of 2024, appear to have finally hit the brakes.
Nvidia Shares Continue To Slide
On Tuesday, the makers of the coveted Blackwell chips saw their shares drop by over 7 per cent, dropping by USD 7.86 or 7.04 per cent, closing for the day's trade at USD 103.73 per share.
The company also took down Nasdaq, which previously had enjoyed the fruits of the rise of the Jensen Huang-led company, which also resulted in a lull in the market.
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The Nasdaq Composite closed the day's trade in red. The marquee index, which is largely driven by tech-related companies, dropped by a significant 1.28 per cent or 222.79 points, slumping to 17,147.42.
The company is expected to declare its results and earnings for the previously concluded quarter of Q1 today.
The company shares closed in red ahead of earnings call. |
When it comes to the company's Wall Street performance, it has been a story of decline for the past few days.
Losing Shine of Nvidia
Just over the past 5 trading sessions, the company's share price has lost 12.86 per cent or USD 15.31 of its value.
This comes after a period of immense gains. The company shares even crossed the USD 1,000 landmark. After that development, the company conducted a 10-for-1 stock split, bringing down the prices of the shares, gathering more investors in the process.
Nvidia slides down the ladder of most valuable companies. |
In addition, the company has also lost its status as the most valuable company in the world. Currently, it is third on the elite list, behind Apple and Microsoft.
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Some observers are attributing this happening to the apparent slowdown in AI-driven enthusiasm in the tech and business realms, thereby dragging the fortunes of the companies invested in the sector.
In addition, the Dow Jones Industrial Average ended in green and gained 0.50 per cent or 203.40 points, climbing to 40,743.33. S&P 500, another index with tech stocks, also dropped by 0.50 per cent or 27.10, closing at 5,436.44.
