Nvidia recently experienced the largest loss in value ever seen by a company. Over the last three days, their stock fell by 13%, resulting in over $500 billion being wiped off their market capitalization. Despite this significant drop, Nvidia’s current market capitalization is still at $2.9 billion, showing the immense scale of the company today.
The company’s stock had seen a massive increase over the past year, with over 145% growth this year and nearly 200% growth over the last twelve months. This recent correction is not causing much concern within Nvidia, as they still have enough cash to sustain their operations.
While some finance experts are calling this loss a “bloodbath” and “absolute carnage,” it’s important to remember that stock market values are based on perception rather than tangible changes in a company’s finances. Nvidia remains a major player in the AI industry and will likely continue to sell a large number of GPUs.
Despite the recent correction, the overall sentiment around AI remains positive. Analysts fear that the AI growth may have become a bubble, but there is still strong demand for AI-related technologies.
Nvidia’s CEO has reassured gamers that the company still values them and will continue to develop high-performance GPUs. There are hopes that the next generation of GeForce GPUs will be both cheaper and faster, although this may not necessarily be the case.
In addition to Nvidia, Bitcoin has also experienced a sharp decline in value after a period of rapid growth. The cryptocurrency market continues to be volatile, with Bitcoin’s value falling more than 8% in the past week.
These recent market fluctuations serve as a reminder that investments in stocks and cryptocurrency can be risky and may not always lead to substantial gains. It’s crucial for investors to be aware of the potential for both positive and negative outcomes in financial markets.
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https://www.pcgamer.com/hardware/graphics-cards/nvidia-loses-dollar500-billion-in-the-biggest-short-term-loss-in-company-value-in-all-of-recorded-history-a-year-ago-that-would-have-killed-it-yet-today-it-will-barely-notice/
