Over the past two trading sessions, Nvidia’s stock price took a significant hit, causing its market value to decrease and falling from its position as the most valuable company in the world. The company lost 6.7% of its value, equivalent to over 220 billion USD. Despite this, there was no apparent fundamental reason for the sudden sell-off of Nvidia shares, according to investors.
The rapid rise in Nvidia’s stock price over the past year had made it vulnerable to profit-taking by investors. Some analysts had predicted this development, stating that the increase in Nvidia’s stock price made it susceptible to sudden corrections in the market. However, despite these short-term fluctuations, Bank of America continues to recommend buying Nvidia shares with a target price of $150 one year from now.
Analysts at Melius Research are even more optimistic about Nvidia’s future prospects and forecast that its shares will rise to 160 USD. Fortune’s calculations show that an investor who bought Nvidia shares for 1,000 USD a decade ago would now have 300,000 USD. Despite these fluctuations, it is clear that Nvidia remains a strong and innovative company with significant growth potential in the years ahead.
