Nvidia (NASDAQ: NVDA) stock has been a stellar performer on the market in 2021 as investors have applauded the tremendous growth in its revenue and earnings. But the stock short-circuited last week after it emerged that the U.S. Federal Trade Commission (FTC) is moving to block Nvidia's proposed $40 billion acquisition of Arm Holdings.
Shares of the high-flying graphics specialist fell more than 4.4% on Dec. 3 as investors reacted negatively to the news. It looks like the bad times aren't over just yet; Nvidia stock was down another 2% on Dec. 6. The stock's correction in the wake of the FTC's decision isn't surprising, since the acquisition would have significantly expanded the chipmaker's empire in fast-growing technology niches.
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Source Fool.com