Nvidia Faces Downturn Amid SoftBank Offload

2 months ago

Valerie Titel

"Nvidia is in focus cuz it's in the red. It is uh leading the losses for the MAG 7 this morning. It's down 1 and a half% so far in pre-market trade. Now, this does come after yesterday's session. Saw near 6% gains. It was Nvidia's fourth best session of the year yesterday. So, maybe not a surprise we're on a back foot. But adding to the negativity around Nvidia has been a surprise move by SoftBank to offload its shares of Nvidia. They announced this in their earnings overnight that they did so in the month of October. They announced that alongside uh making a an additional investment in Open AI. So perhaps that's saying that SoftBank is seeing more value in privately held AI companies rather than publicly uh traded stocks such as Nvidia."

The discussion highlights Nvidia's recent volatility: despite a strong session yesterday, the stock is down 1.5% in pre-market trading today amid a notable offload by SoftBank, suggesting a potential reallocation towards private AI investments.

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