Nvidia's stock price swung wildly over a 3-day period, erasing $430 billion in market value as the stock plunged 13%. Nvidia's revenue and profits have skyrocketed. Its AI chips have been in high demand from major tech companies like Microsoft, Meta, Amazon, and Alphabet, who have collectively spent over $150 billion on capital expenditures. Some investors worry that demand may cool if companies don't see sufficient returns on their AI investments, which could lead to a "reckoning" for Nvidia's high stock valuation.
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00:00It's Benzinga, and here's what's on the block.
00:02NVIDIA's stock price swung wildly over a three-day period, erasing $430 billion in
00:08market value as the stock plunged 13%.
00:11NVIDIA's revenue and profits have skyrocketed as its AI chips have been in high demand from
00:15major tech companies like Microsoft, Meta, Amazon, and Alphabet, who have collectively
00:20spent over $150 billion on capital expenditures.
00:24Some investors worry that demand may cool if companies don't see sufficient returns
00:27on their AI investments, which could lead to a reckoning for NVIDIA's high stock valuation.
00:32For all things money, visit Benzinga.com.