New York, Feb 27, 2026, 10:02 EST — Regular session
- Nvidia shares dropped over 2% during the morning session, adding to Thursday’s selloff.
- Investors juggle upbeat guidance with lingering doubts over when AI investments will deliver returns—and concerns about intensifying competition aren’t fading.
- Hotter-than-expected U.S. inflation data is also prompting a reaction from traders.
Nvidia (NVDA.O) slipped 2.2% to $180.81 as of 9:50 a.m. EST, deepening the selloff that’s been dogging the chipmaker’s shares since its earnings report.
Nvidia’s volatility is drawing attention, with the chipmaker now standing as a proxy for the wider “AI trade.” This latest dip has only fueled the ongoing debate: just how much longer can massive data center investment keep climbing when payoff timelines remain murky? Reuters
The company posted record revenue of $68.1 billion for the quarter late Wednesday and non-GAAP earnings landed at $1.62 a share. For the first quarter, it’s guiding to $78.0 billion in revenue, give or take 2%. That forecast, the company noted, doesn’t factor in any data-center compute sales from China.
Executives shot down suggestions that the buildout phase is almost finished during the earnings call. CEO Jensen Huang put it bluntly: “This new way of doing computing is not going to go back.” Reuters
The real question facing the market: what follows this period of explosive growth? “Nvidia once again exceeded expectations but the competitive picture is also shifting,” said Jacob Bourne, an analyst at eMarketer, who noted both emerging rivals and major customers moving to design more chips in-house. Reuters
Supply constraints remain in play—not only in data centers. “As much as we would love to have more supply, we do believe for a couple quarters it is going to be very tight,” CFO Colette Kress said, pointing to ongoing strain in the gaming segment. Reuters
Investors are eyeing Nvidia’s move to branch out from its mainstay GPUs into the territory of central processors, an area where Intel and AMD have held sway for years. “We love CPUs as well as GPUs,” CEO Huang said. Nvidia pointed to a fresh deal with Meta that puts its CPUs to work on their own. Reuters
Friday’s action wasn’t giving growth stocks any relief. U.S. producer prices climbed 0.5% in January, while core producer prices surged 0.8%—both coming in above forecasts and stoking fresh rate jitters. Another blow for rate-sensitive names.
Nvidia leaned heavily on share buybacks and dividends to keep investors confident. For fiscal 2026, the company sent $41.1 billion back to shareholders, leaving $58.5 billion still available on its repurchase program. The next dividend, $0.01 per share, is set for April 1 for anyone holding shares as of March 11.
Still, the risks are tough to ignore. A pullback in spending from major cloud players, or a tilt toward homegrown chips and competing accelerators, chips away at Nvidia’s nearly unbroken revenue streak. China? As long as new export restrictions are possible, the outlook there stays hazy.
Traders now eye the stock to see if it can find its footing following the post-earnings reset. March 11’s dividend record date stands out, along with any added detail on China-linked shipments, as the next immediate catalysts.
