Wednesday, February 19, 2025
spot_imgspot_img

Top 5 This Week

spot_imgspot_img

Related Posts

On Monday, small investors set a record by purchasing the dip in Nvidia in large amounts


Retail investors showed strong support for chipmaker Nvidia on Monday, buying over $562 million worth of shares despite a significant drop in the company’s value. This surge in retail interest came after news of an AI model from a Chinese startup outperforming Western counterparts, raising concerns about the U.S. leadership in artificial intelligence technology.

Nvidia experienced its biggest one-day loss of around 17% since the onset of the Covid pandemic, following the emergence of DeepSeek’s AI model. This development challenged the U.S. strategy of investing in AI and data centers, casting doubt on the effectiveness of President Donald Trump’s multi-billion dollar AI project, Stargate. Nvidia acknowledged DeepSeek’s advancement in AI technology, leading to fears that America may be falling behind in this crucial sector.

Individual investors, however, remained optimistic about Nvidia’s prospects. The chipmaker has been the most-purchased security by average investors in 2024, reflecting their confidence in the company’s ability to innovate and adapt to changing market conditions. Some investors like Nirav Patel believe that the rise of reasoning AI models will drive demand for Nvidia chips in the future.

Despite the size difference between Nvidia and meme stocks like GameStop and AMC, retail investors on platforms like Reddit continued to show support for the chipmaker. Nvidia was the most-mentioned stock on the WallStreetBets forum, with users expressing trust in CEO Jensen Huang and dismissing Monday’s drop as an overreaction. This display of support from retail traders highlights their willingness to back companies they believe in, even in the face of market volatility.

Note: The image is for illustrative purposes only and is not the original image associated with the presented article. Due to copyright reasons, we are unable to use the original images. However, you can still enjoy the accurate and up-to-date content and information provided.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Popular Articles