It's been a while, but it's happening to Nvidia (NASDAQ: NVDA) again.

A periodic oversupply of graphics cards has been a historical problem for the high-flying chipmaker, and the company's latest update indicates that the problem is back. Nvidia released preliminary results for the second quarter of fiscal 2023 (for the three months ended July 31, 2022), and it became clear that the chipmaker's days of terrific growth have been put on "pause."

Not surprisingly, Nvidia investors didn't react well to the news. The terrific rally in shares of Nvidia that began last month has suddenly lost momentum. It won't be surprising to see Nvidia stock head further south, at least in the near term. Here's why that may be the case.

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Source Fool.com