As Nvidia stock dips, have investors been 'hating on AI' in 2026?

2026년 2월 27일 · Unknown · financial · 출처 Yahoo Finance

US stocks (^DJI, ^IXIC, ^GSPC) broadly end Thursday trading in negative territory — the Dow Jones Industrial Average only rose by 0.03% — while Nvidia (NVDA) closed nearly 5.5% lower after the AI chipmaker's strong fourth quarter earnings apparently wasn't enough to impress Wall Street investors.

Grenadilla Advisory founder and CEO Anna Rathbun speaks with Josh Lipton to share her analysis of Nvidia's earnings release and where the semiconductor manufacturer is seeing the most pressure from AI investors.

To watch more expert insights and analysis on the latest market action, check out more Market Domination Overtime.

Video Transcript

00:00 Speaker A

Anna, it is good to see you. Let's start with Nvidia, Anna, because

00:05 Speaker A

they put up roughly 80% growth, 75% margins, right? It's a strong print.

00:12 Speaker A

They knocked the guide out of the park. The stock sells off. It's down more than 5% in today's trade, Anna.

00:19 Speaker A

You say Nvidia is trapped in what you call here a negative momentum narrative.

00:26 Speaker A

What is that, what does that mean in practical terms, Anna?

00:31 Anna

You know, I think everyone is hating on AI in one form or another since the beginning of the year.

00:36 Anna

So, we've had the software sell off, which I guess there's some signs of life today. Um, and then it's taking turns. Nvidia and uh hardware is now taking a hit.

00:46 Anna

With Nvidia specifically, it's really a story of high valuation and multiple compression. Um, it is giving us a forward earnings that is beating expectations as well, but

00:58 Anna

the PE ratio is very high.

01:00 Anna

So I think this is just investors repricing its expectations in terms of historical valuations, um, and perhaps putting money to work in other areas.

01:10 Anna

And, you know, part of it also is Nvidia is along with Google and everybody else, these large companies,

01:17 Anna

it's it's time for a sell off for them, but I don't expect that to take, uh, a very long. I don't I don't expect that to continue on forever and ever.

01:25 Speaker A

Do you think, Anna, investors fully appreciate what Nvidia has evolved into, meaning a lot of people say it's a chip company.

01:33 Speaker A

But really, Anna, it's almost evolved under Jensen Huang to more of an ecosystem, a platform.

01:39 Anna

Yes. Um, so this is a very important thing to remember because they we've been talking about their GPUs for so long. Um, one of the things that we learned from the earnings report was that they're diversifying two things.

01:49 Anna

The first is the consumer base or customer base, and second is their network, um, revenue actually jumped up over 200%, right?

01:58 Anna

So that network is really selling gear with the chips in it and therefore, actually letting the chip shine because they have control over how the chip works.

02:06 Anna

And so it actually makes Nvidia really difficult to compete with. Um, and when you pay attention to all of these diversification efforts, it actually protects the moat that they have built around them, uh, for the last several years and maybe more to come.

02:20 Speaker A

One is interesting trade today, Anna, was if you looked at the chips, the SMH finishes down.

02:27 Speaker A

And meanwhile, software, that actually finished the day in the green. Do you see that, hey, is that a one-day trade, Anna, or no, maybe, maybe after being so beat up, sort of a new trend here?

02:39 Anna

Yeah, you know, last night we had, um, two major companies in tech, right? One was Nvidia, the other was Salesforce. And they had a completely different experience today.

02:49 Anna

And that tells me, and they both had good earnings, um, good reports. So that tells me that software, maybe there's a fatigue of sell off from the investors and maybe it's showing signs of life.

02:58 Anna

Whether or not it it continues is actually a big question mark because who knows when the next Claude, you know, industry hit is going to be? And I think that's a really important thing to remember is that because agentic AI speed at which they are producing new products is so fast, uh that it has really taken the markets by a storm and I'm not entirely sure that it's over.

03:17 Anna

Um, the other thing is the markets don't really know how to price in AI. So it's kind of indiscriminate selling, um, until the fear of agentic AI sort of, you know, putting software into extinction is over, um, I think we're going to maybe see a continuous pressure.

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