By https://www.facebook.com/CNBC
Publication Date: 2026-03-17 21:05:00
A day after Jensen Huang unveiled a new chip and updated guidance at Nvidia’s annual GTC conference, the stock is … not doing much. That raises the question: Was this year’s keynote a disappointment? Has the stock simply run out of steam? Nvidia has one of the most frustrating stocks in the market, especially for fundamental investors like us. The problem isn’t that the stock has been flat for eight months; it’s that the stock has been flat despite positive updates after positive updates, including blockbuster earnings reports. That makes it a classic case of a broken stock, not a broken company. What we heard at GTC demands that we maintain a position in the name and reminds us that this remains a stock to be owned long-term, not traded. For those who don’t own any Nvidia shares, the muted response to a remarkable keynote presents a buying opportunity. There are many reasons a stock gets stuck. In the case of Nvidia, it may have something to do with the options market and hedging activities on the part of the liquidity providers known as market makers and large shareholders that essentially render the stock “pinned” around current levels. Without getting too far into the weeds, the main point is that the stock’s lack of momentum may be tied to market mechanics more than anything else. Could there be other forces keeping a lid on the stock? Sure. One could always blame investor sentiment, but it’s hard to believe they’re souring on a company that keeps humming. After…