Investors who snapped up shares of Nvidia at the bottom of last month’s swoon got a harsh reminder of the multiple forces pushing and pulling on the chipmaker’s business prospects.
So far, Wall Street analysts haven’t changed their bullish tune on the stock, though several have pared their price targets.It was another harsh reminder for Nvidia fans that for all the hype around its position as a primary beneficiary of the artificial-intelligence gold rush, the company’s more immediate prospects are at the mercy of the geopolitical struggle over the chips that power virtually every aspect of the modern world.
Since reaching that peak, performance has been rockier. Shares fell 12 per cent in September, its worst monthly performance in 2023, weighed down by concerns about demand sustainability. So far, Wall Street analysts haven’t changed their bullish tune on the stock. While some have cut price targets, 95 per cent of analysts have a buy-equivalent rating on Nvidia, according to data compiled by Bloomberg.