Nvidia (NVDA) Stock Gets Downgrade: Heres What Experts Are Saying

The US banal marketplace was dealt a monolithic stroke by the beingness of US President Donald Trump’s Liberation Day tariff plan. Indeed, the Dow Jones fell much than 1,000 points for 2 consecutive days arsenic things got dire. Among the struggling firms was Nvidia (NVDA), whose banal got a uncommon downgrade from acrophobic experts.

The tech elephantine was among the biggest winners successful the banal marketplace successful 2024. Over the people of the past year, it jumped much than 170%. However, things changed drastically this year, with geopolitical concerns and economical frailty hindering its quality to find its footing. Now, each eyes are connected its outlook, with Wall Street getting progressively bearish connected the stock.

Source: Investopedia

Also Read: Jim Cramer Calls Nvidia (NVDA) Stock a “Meme Stock”: Is It?

Nvidia Gets a Downgrade, and Its Problems May Be More Than Trump’s Tariffs

When rumors started swirling of the Trump administration’s bevy of reciprocal tariffs, the banal marketplace was ever going to beryllium deed the hardest. The surge successful economical concerns and recession fears spooked traders. Moreover, it pushed down a big of companies that had already faced a sluggish 2025.

One of the best-performing firms of the past 2 years has been among the hardest hit. Indeed, Nvidia (NVDA) and the stock’s 2025 show person led it to person a uncommon downgrade arsenic experts person expressed immoderate interest astir the AI chipmaker.

Source: Investopedia

Also Read: Nvidia (NVDA) Loses $1T successful Market Cap, Drops 10%: So What’s Next?

HSBC expert Frank Lee lowered his standing connected the banal Thursday. However, helium noted that the determination really had small to bash with the Trump tariff program inspiring market-wide panic. His stance against the banal comes alongside his content that what has propelled its maturation successful the archetypal spot whitethorn beryllium losing immoderate steam.

“Over the past 3 quarters, the magnitude of Nvidia’s quarterly net and guidance bushed has been getting smaller,” Lee said. He added that it has lone fixed “increasing marketplace absorption connected NVidia’s net arsenic good arsenic ongoing uncertainty implicit its Blackwell proviso concatenation ramp-up.”

Lee is present 1 of conscionable six analysts who person fixed the standing to the tech giant. Indeed, it inactive holds a bargain standing from most, adjacent with it dropping beneath $100 connected Friday. Its median terms target sits astatine $175, denoting an 83% upside for the banal implicit the adjacent 12 months.