Nvidia Stock Extends Post-Earnings Slide as AI, Tariff Concerns Weigh
Nvidia (NVDA) shares fell sharply on Monday, continuing last week’s post-earnings decline as investors weighed concerns over AI spending, potential export restrictions, and new U.S. tariffs set to take effect.
The stock dropped about 9% during Monday’s session, deepening last week’s 7% decline and leaving Nvidia down roughly 15% for the year. The selloff comes as the broader AI-driven rally shows signs of cooling, with increasing uncertainty around U.S. trade policies and chip export regulations.
Analysts at Mizuho warned that Nvidia could face “significant new China AI and export license restrictions” based on industry checks, estimating a potential revenue hit of $4 billion to $6 billion in the second half of the year. The warning follows reports that the Trump administration is planning to tighten export curbs on AI chips.
Additionally, President Trump on Monday confirmed that tariffs on goods from Canada and Mexico will go into effect Tuesday, along with a doubling of existing tariffs on Chinese imports.
Despite these concerns, analysts remain largely optimistic about Nvidia’s long-term prospects. Mizuho noted that demand for AI chips remains strong and expects the impact of China-related headwinds to be "muted." Visible Alpha data shows that the average price target among 19 analysts covering Nvidia stands at approximately $177, implying more than 50% upside from Monday’s closing price.
Nvidia (NVDA) shares fell sharply on Monday, continuing last week’s post-earnings decline as investors weighed concerns over AI spending, potential export restrictions, and new U.S. tariffs set to take effect.
The stock dropped about 9% during Monday’s session, deepening last week’s 7% decline and leaving Nvidia down roughly 15% for the year. The selloff comes as the broader AI-driven rally shows signs of cooling, with increasing uncertainty around U.S. trade policies and chip export regulations.
Analysts at Mizuho warned that Nvidia could face “significant new China AI and export license restrictions” based on industry checks, estimating a potential revenue hit of $4 billion to $6 billion in the second half of the year. The warning follows reports that the Trump administration is planning to tighten export curbs on AI chips.
Additionally, President Trump on Monday confirmed that tariffs on goods from Canada and Mexico will go into effect Tuesday, along with a doubling of existing tariffs on Chinese imports.
Despite these concerns, analysts remain largely optimistic about Nvidia’s long-term prospects. Mizuho noted that demand for AI chips remains strong and expects the impact of China-related headwinds to be "muted." Visible Alpha data shows that the average price target among 19 analysts covering Nvidia stands at approximately $177, implying more than 50% upside from Monday’s closing price.