Nvidia Stock Is Sliding. Is It a Buying Opportunity or a Warning Sign?
Shares of Nvidia (NASDAQ: NVDA) were heading lower Thursday after the AI chip leader posted better-than-expected results in its fiscal 2025 second-quarter report after the close Wednesday, but the company's beat was not as wide as investors had become used to and management's guidance was on the lighter side. Nvidia also reported a sequential decline in gross margin, indicating that it may have reached the limits of its margin expansion.
The stock was down by 6.4% as of 3:14 p.m. ET, though many of its AI peers such as Arm Holdings rose, suggesting that some investors were interpreting the report as good news for AI demand broadly, and taking the opportunity to rotate into other AI stocks with more upside.
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Source Fool.com
