Key takeout
NVIDIA (NVDA) extended its losses after revenue last week amid concerns over AI (AI) spending, slides on Monday amid uncertainty regarding the potential impact of the policy on tariffs and AI chip export restrictions.
Nvidia’s shares fell nearly 5% in recent trading after falling about 7% last week, reaching $118.92 after falling 20% below its all-time high in early January.
Mizuho analysts warned clients on Friday that Nvidia could face “critical new Chinese AI and export licence restrictions” based on industry checks. Mizuho estimated that it could mean that the AI chip maker’s $4 billion to $6 billion in revenue will be hit later this year.
Comments come days after reports that the Trump administration is trying to tighten its chip export curbs. Last week, President Trump also announced that tariffs on products from Canada and Mexico will come into effect Tuesday, along with doubling existing tariffs on products from China.
Still, analysts have so far been largely bullish on Nvidia’s stock, pointing to a strong chipmaker’s outlook on the backdrop of rising AI demand. Mizuho analysts said they hope for the impact of headwinds from China and AI chip restrictions “stay muted.”
The average price target for 19 analysts covering stocks voted by visible Alpha is around $177, suggesting a rise of around 50% from intraday levels on Monday.
