10 Reasons to Pass on Nvidia Stock From an Investor of 27 Years Who’s Seen This Story Play Out Before

From Nasdaq: 2025-06-19 03:51:00

At 18, the author opened an E*TRADE account. Nearly 27 years later, the author reflects on 25 lessons learned as an investor, emphasizing the continuous learning process and the surprises stocks can bring.

Nvidia, a leader in AI, has defied skeptics and gained over $3 trillion in market cap in 2023. However, there are historical reasons to doubt Nvidia’s infallibility, with tangible factors indicating potential shortcomings in the future.

Reasons to pass on Nvidia stock include the historical trend of bubbles with new technologies, external competition ramping up production, internal competition from customers, CEO innovation cycles disrupting the company, eroding gross margin, export restrictions to China, and tariffs affecting margins.



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