Marina Lyubimova
⬤ Nvidia went through a wild ride after earnings, first popping over 5% at the open when they crushed expectations. But once regular trading kicked off in New York, everything flipped. The stock tanked hard, ultimately dropping 7.2% from its peak and completely giving back all the gains from the earnings bump.
⬤ The intraday meltdown erased an estimated $340 billion in market cap within just a few hours. To put that in perspective, that's basically the entire market cap of Ethereum going up in smoke. The reversal happened even though everyone's still hyped about AI demand, showing how sky-high expectations can make these swings even more brutal—especially with megacap stocks trading at stretched valuations.
The intraday decline wiped out an estimated 340 billion dollars in market capitalization within just a few hours.
⬤ Nvidia's quick flip from a 5% pop to a massive loss shows just how touchy leading semiconductor and AI stocks are right now. Even with solid earnings, the market's clearly dealing with profit-taking, macro worries, or just straight-up volatility. This ranks as one of the biggest single-day value drops ever for a major US company, proving just how much weight Nvidia carries across both the chip sector and the broader market.
⬤ This kind of move matters because when megacap leaders like Nvidia take a hit, it can mess with the whole market vibe—especially in AI, data centers, and chip development. These sudden drops in major names can shift how people think about risk, spike short-term volatility, and change momentum across growth stocks. The fact that Nvidia crashed despite beating earnings shows how fast sentiment can turn when expectations are through the roof and market conditions are shaky.
Marina Lyubimova
