Nvidia stock fell 8.5% last week due to U.S. export restrictions on its H20 chip to China.
From Yahoo Finance: 2025-04-20 15:00:00
Shares of Nvidia fell 8.5% last week, closing at $101.49 per share. The S&P 500 dropped by 1.5%, and Nasdaq Composite fell by 2.6%. Nvidia stock edged up 1.3% on Tuesday after announcing plans to produce AI supercomputers in the U.S. The company is partnering with TSMC, Amkor, and SPIL. However, Nvidia’s stock fell 6.9% on Wednesday due to $5.5 billion charges on its fiscal first-quarter results from U.S. export restrictions on its H20 chip to China. The restrictions are due to security concerns, affecting a significant portion of Nvidia’s data center revenue. This could impact Nvidia’s first-quarter revenue forecast of $43 billion. Nvidia’s fiscal Q1 revenue may dip from last quarter, but year-over-year growth could still reach 48%. The $5.5 billion in charges will impact net income, especially in the data center platform. The H20 charges will significantly hurt Q1 results and future quarters, particularly in the Chinese data center market. Despite challenges, Nvidia remains strong in AI chip market and has potential for growth in agentic AI. Investors should consider long-term prospects. While the stock is down from its peak, it has still shown growth. For more investment options, check out the 10 best stocks identified by the Motley Fool. 1. The stock market saw a significant drop today as the Dow Jones Industrial Average fell 500 points due to concerns over rising inflation and interest rates.
2. A new study reveals that over 70% of Americans are planning to travel this summer, with domestic destinations being the most popular choice among travelers.
3. The FDA has approved a new drug for the treatment of Alzheimer’s disease, marking the first new treatment for the condition in nearly 20 years.
4. The United Nations reported that global carbon dioxide emissions have reached their highest levels in history, signaling a dire need for immediate action to combat climate change.
5. In sports news, the NBA playoffs are in full swing with several teams fighting for a spot in the finals, while the NHL playoffs have also begun with intense matchups on the ice.
Read more at Yahoo Finance: The Week of April 14-18 in Review