Why NVIDIA, Dillard's, and Fossil Group Slumped Today

Friday was a solid day for the stock market, which enjoyed a slight recovery from more substantial losses over the preceding trading sessions during the week. Investors seemed generally to be at least a bit more comfortable with the geopolitical situation globally, and some favorable news on the earnings front supported the idea that the U.S. economy will be able to keep growing even if tensions rise outside the financial markets. Yet some companies faced their own specific obstacles today, and NVIDIA (NASDAQ: NVDA), Dillard's (NYSE: DDS), and Fossil Group (NASDAQ: FOSL) were among the worst performers on the day. Below, we'll look more closely at these stocks to tell you why they did so poorly.

Shares of NVIDIA dropped 5% after the graphics chip specialist didn't do well enough in its second-quarter financial results to satisfy growth-hungry investors. At first glance, NVIDIA's performance looked stellar, with revenue climbing by more than half and net income more than doubling from year-ago levels. Yet the stock has soared roughly 150% over the past year, and part of what was driving those gains were even higher hopes about the chipmaker's prospects. Going forward, NVIDIA still has a lot going for it, including gains on initiatives to tap into key themes like data centers and artificial intelligence. Shareholders might have to get used to the idea that even great results won't always push the stock higher after it having seen such extensive gains already.

Image source: NVIDIA.

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Source: Fool.com