Nvidia, the AI chipmaking titan that was briefly the world’s most valuable company, has suddenly found itself in an unfamiliar position: a major rut.
Nvidia (NVDA) had the worst day in the history of the stock market Tuesday, as measured by loss in total market value. Its 9.5 per cent share price decline shaved a stunning US$279 billion off the company’s value, far outpacing the previous record of US$240 billion set by Meta in 2022.
To put that shocking decline into context, only 27 companies on the planet are worth as much as Nvidia lost in value Tuesday. That US$279 billion evaporation is worth more than all the shares of some of America’s biggest companies, including McDonald’s, Chevron and Pepsi.
CEO Jensen Huang, who is Nvidia’s largest individual shareholder (and fifth-largest overall, counting institutional investors like BlackRock) personally lost US$10 billion in wealth Tuesday from Nvidia’s sharp tumble.
The company has been in decline since June 18, when it topped US$3.3 trillion in value — the highest for any public company. As the U.S. economy begins to show some signs of stress, investors have grown skeptical of Nvidia and other AI stocks’ sky-high valuations. Stock traders are worried that potential weakness in the economy could make companies think twice before investing in the promising but still risky and unproven technology.
Despite blockbuster earnings last week, Nvidia’s somewhat more tepid outlook disappointed investors who were looking for more upside, and the stock fell.
Nvidia has tumbled more than 20 per cent since its June 18 peak. Microsoft, which has made huge bets on AI technology, has fallen 12 per cent from its most recent peak. And TSMC, Nvidia’s biggest AI chipmaking rival, has plunged 18 per cent since mid-July.
Meanwhile, Intel, once the world biggest chipmaker, has endured a 59 per cent decline in its share price this year. That company faces its own unique challenges in its bid to remake itself and get into the AI game.
But Nvidia may face a different set of problems: Much of Tuesday’s sharp decline was because the U.S. Justice Department reportedly sent it a subpoena as part of an antitrust probe, according to Bloomberg. CNN could not independently verify the subpoena, and the Department of Justice and Nvidia declined to comment directly on the antitrust investigation.
“Nvidia wins on merit, as reflected in our benchmark results and value to customers, who can choose whatever solution is best for them,” an Nvidia spokesperson said in a statement.
The Biden administration has been going hard after tech titans, launching probes and lobbing charges against Apple, Google and Amazon, among others. It’s unclear whether a Kamala Harris or Donald Trump administration would continue those cases, but both have criticized tech companies for various reasons during their campaigns.
Nvidia gained about one per cent Wednesday. The Nasdaq Composite, which tanked more than three per cent Tuesday, was unchanged Wednesday.
Still, AI bulls continue to believe in Nvidia. The stock remains up 118 this year and has a US$2.7 trillion market valuation — a close third behind Apple and Microsoft. Huang said last week that demand for its latest “Blackwell” AI chips “far exceeds its supply.” And even as competition grows, demand for Nvidia’s chips is growing, too.
And the investments are paying off — so far, at least — Huang claims.
“People who are investing in Nvidia infrastructure are getting returns on it right away,” Huang said last week, noting that the company’s new graphics processing units, the GPU chips that power AI, process data so efficiently that they end up saving clients money quickly.
That’s why bulls like Wedbush’s Dan Ives believe Nvidia’s stock decline presents a buying opportunity.
“Nvidia has changed the tech and global landscape as its GPUs have become the new oil and gold in the IT landscape,” Ives said Tuesday in a note to investors.
NDP Leader Jagmeet Singh has pulled his party out of the supply-and-confidence agreement that had been helping keep Prime Minister Justin Trudeau's minority Liberals in power.
NDP Leader Jagmeet Singh revealed Wednesday that he's 'ripped up' the supply and confidence agreement with the Liberals. Here's a look at everything the deal accomplished — and what's been left unfinished.
Government House Leader Karina Gould says she was 'quite surprised' when she found out “at the same time as other Canadians today” that NDP Leader Jagmeet Singh was pulling out of the supply-and-confidence deal with the Liberal government.
A pair of stranger attacks in downtown Vancouver left one man dead and another with a severed hand on Wednesday morning.
The gunman who opened fire inside Apalachee High School in Winder, Ga., is a 14-year-old male, Georgia officials confirmed Wednesday.
The Bank of Canada has cut its policy interest rate for a third consecutive time. Governor Tiff Macklem says if the economy continues to improve, Canadians can expect more rate cuts later this year.
A call about a suspicious vehicle ended with a Ford Bronco sitting atop a Peel police cruiser at a Tim Hortons drive-thru in Mississauga Tuesday.
Betty Matchizen was left counting black bears as she drove by her farm yard in Thalberg, Man. She said she pulled over on the side of the road on the weekend after seeing six black bear cubs and their mom hanging around an oak tree on the property.
A black bear cub survived a 10-hour drive to Windsor while being fed Taco Bell after being found in the middle of a road near Cochrane, Ont.
A Brampton resident is one of the two people facing dozens of human trafficking charges following a 10-month-long investigation that started in eastern Ontario.
Betty Matchizen was left counting black bears as she drove by her farm yard in Thalberg, Man. She said she pulled over on the side of the road on the weekend after seeing six black bear cubs and their mom hanging around an oak tree on the property.
The Stronach Group says a lawsuit filed by Frank Stronach's son and granddaughter over management of the family business's wealth has been settled out of court.
Charlotte Light was supposed to start high school this week. Instead her family and friends are gathering to mourn the loss of the 14-year-old, remembered for her love of family, faith and a passion for soccer, theatre and dance.
A pair of stranger attacks in downtown Vancouver left one man dead and another with a severed hand on Wednesday morning.
A call about a suspicious vehicle ended with a Ford Bronco sitting atop a Peel police cruiser at a Tim Hortons drive-thru in Mississauga Tuesday.
Former Republican Rep. Liz Cheney on Wednesday said she would support Kamala Harris for president, ending weeks of speculation about how fully the member of a GOP dynasty-turned-Trump critic would embrace the Democratic ticket.
Newly emerged film footage of former U.S. president John F. Kennedy's motorcade speeding down a Dallas freeway toward a hospital after he was fatally wounded will go up for auction later this month.
Federal agents on Wednesday seized US$33 million worth of cocaine aboard a boat that was trying to smuggle the drug into the tiny Puerto Rican island of Vieques, according to officials.
U.S. Vice-President Kamala Harris proposed increasing the long-term capital gains tax rate to 28 per cent for wealthy Americans during an economic speech in New Hampshire on Wednesday, breaking with the policy laid out by President Joe Biden in his 2025 budget by suggesting a lower rate.
The White House is signalling an openness to blocking the acquisition of U.S. Steel by Nippon Steel, as a government review of the proposed takeover by the Japanese company is on the cusp of ending.
The gunman who opened fire inside Apalachee High School in Winder, Ga., is a 14-year-old male, Georgia officials confirmed Wednesday.
NDP Leader Jagmeet Singh has pulled his party out of the supply-and-confidence agreement that had been helping keep Prime Minister Justin Trudeau's minority Liberals in power.
Government House Leader Karina Gould says she was 'quite surprised' when she found out “at the same time as other Canadians today” that NDP Leader Jagmeet Singh was pulling out of the supply-and-confidence deal with the Liberal government.
NDP Leader Jagmeet Singh revealed Wednesday that he's 'ripped up' the supply and confidence agreement with the Liberals. Here's a look at everything the deal accomplished — and what's been left unfinished.
Ontario has been directed to withdraw and destroy all remaining supplies of last year's COVID-19 vaccines while it awaits delivery of an updated shot, which is only expected to arrive in October, the health ministry confirms.
Researchers in London, Ont., say they were able to detect awareness in a comatose patient with a brain injury -- a finding they say 'opens the door' to providing better care with the hope of more accurately predicting critically injured patients' prognosis for recovery.
Reggie Garrett weeps as he speaks about the Parkdale Queen West Community Health Centre, which houses the supervised consumption site he uses. It is one of 10 such sites slated for closure after the province announced new rules.
A small asteroid discovered on Wednesday harmlessly burned up in Earth's atmosphere the same day, NASA said.
A 'remarkable' Pictish ring with 'an intricate setting' was discovered in Scotland by an amateur archeologist after being buried for more than 1,000 years.
Herds of salamanders are crossing the road in western Manitoba by the dozens.
The 2024 Canadian Country Music Association (CCMA) Awards being held in Edmonton later this month will feature a special reunion.
The group of authors in contention for this year’s $100,000 Giller Prize has been whittled down to 12, but one name is notably absent from the list: Scotiabank.
A long-running battle over the Guess Who name has come to an end.
Some Canadian banks say they're starting to question how aggressively they go after mortgage customers amid intense competition.
The Insurance Bureau of Canada says this summer saw a record number of insurance claims driven by four major weather events and natural disasters over the span of four weeks.
Prairie farmers are bracing for a financial hit in the wake of China saying it will launch an anti-dumping investigation into Canadian canola imports.
Having recently turned 36, CNN Style producer Jacqui Palumbo asks readers if she is too old to still be wearing a crop top.
At the U.S. Open currently underway in New York, a single cocktail will surpass US$10 million in sales before the tennis grand slam event ends Sept. 8.
An ultra swimmer is trying again to cross Lake Michigan, from Michigan to Wisconsin, just a few weeks after trouble with a GPS device forced him to give up after 60 miles (96 kilometers).
Lionel Messi may be considered by many as the greatest soccer player of all time, but the Argentina star was omitted from the list of nominations to win this year's Ballon d'Or award — the sport's most prized individual honor.
Kody Clemens's two-run homer lifted the Philadelphia Phillies to a 4-2 win over the Toronto Blue Jays on Wednesday for a two-game sweep.
Paralympic sprinter Alessandro Ossola may have failed to qualify for the final of the T63 100 metres, but the Italian secured a 'yes' from his ecstatic girlfriend after proposing to her in the stands of the Stade de France after the race.
Volvo Cars said on Wednesday that plug-in hybrids would continue to be a critical part of its profit growth plans over the next few years and that it would revamp its XC90 hybrid sports utility vehicle.
An Ontario man said he couldn't believe an electric car he bought three years ago for $20,000 would need a new battery at a cost of more than $33,000.
Another death has been linked to dangerous Takata air bag inflators by U.S. regulators, the 28th in the United States.
Herds of salamanders are crossing the road in western Manitoba by the dozens.
A black bear cub survived a 10-hour drive to Windsor while being fed Taco Bell after being found in the middle of a road near Cochrane, Ont.
A British Columbia woman who unsuccessfully sued her downstairs neighbour last fall for making too much noise has now failed in a bid to sue her upstairs neighbour for being too loud.
A trumpeter from Windsor is performing at the Detroit Jazz Festival this weekend — a rare honour for a musician from the Rose City.
A humpback whale calf that was struck by a BC Ferries vessel off of northern Vancouver Island last Thursday is expected to recover, a local marine research society says.
Drivers going by a Kitchener roundabout may have noticed something unusual – a tent set up on the centre island.
A family-owned B.C. wilderness resort designed and built by HGTV's Timber Kings – who said it was one of the "coolest and most challenging" projects they have undertaken – has hit the market for $21.5 million.
Alan Dougherty, co-owner of Estevan's Orpheum Theatre believes the historic theatre’s future is up in the air following recent flooding.
A First Nations community west of Calgary has officially reclaimed its traditional Stoney Nakoda name. The Stoney Nakoda Nations held an event on Thursday to officially rename Morley to Mînî Thnî.
A pair of stranger attacks in downtown Vancouver left one man dead and another with a severed hand on Wednesday morning.
With one last chance to address the jury, Crown prosecutors argued that Kane Carter's actions after two people were killed in Vancouver should leave them with no doubt he was the person who fired the fatal gunshots.
A planned six-storey, 90-unit supportive housing complex at Cambie and Sexsmith roads in Richmond is no longer going forward. Unless it does. Which it definitely will, but maybe at a different site.
A call about a suspicious vehicle ended with a Ford Bronco sitting atop a Peel police cruiser at a Tim Hortons drive-thru in Mississauga Tuesday.
NDP Leader Jagmeet Singh has pulled his party out of the supply-and-confidence agreement that had been helping keep Prime Minister Justin Trudeau's minority Liberals in power.
A Brampton resident is one of the two people facing dozens of human trafficking charges following a 10-month-long investigation that started in eastern Ontario.
The Calgary Flames are preparing to mourn the loss of Johnny and Matthew Gaudreau at a vigil on Wednesday night.
The City of Calgary is no longer able to afford the cost of the CTrain Green Line project, following a “significant scope change” by the provincial government.
A spokesperson for Alberta Health says that as of Aug. 31, all old-strain COVID-19 vaccines are no longer available, but neither is the new formula.
Charlotte Light was supposed to start high school this week. Instead her family and friends are gathering to mourn the loss of the 14-year-old, remembered for her love of family, faith and a passion for soccer, theatre and dance.
The timeline for a downtown arena for the Ottawa Senators remains uncertain so, for now, the club is taking steps to enhance the fan experience at the Canadian Tire Centre in Kanata, introducing several new features and foods for the upcoming season.
In Maniwaki, Que., local radio station CHGA 97.3 has been playing their version of 'Catch the Ace' for nearly a year without a winner. There's only one card left in the deck, so on Thursday, the winning ticketholder is guaranteed to take home a huge cash prize.
Cases of whooping cough are surging in Quebec, and the number of cases during the current outbreak is much higher than the few hundred seen in the average year.
The parents of Olivier Boulerice are calling the Quebec Education Ministry's grading system that may cause him to need to repeat a class.
With the exception of two huge U2 concerts on the site, the Hippodrome Blue Bonnets has been dormant since 2009, and while Montreal and Quebec plant to build the green space is being used to grow food, including the once thought lost Montreal melon.
Several Jasper businesses, trails and areas are now open or soon-to-be accessible.
An Edmonton city councillor says the provincial government's decision to eliminate the use of photo radar on the bulk of roadways crews currently patrol will mean denying residents safer roads.
Mounties have released a photo of the van believed to be involved in a shooting in St. Albert over the long weekend.
Halifax Regional Police found human remains near Long Lake on Tuesday.
NDP Leader Jagmeet Singh has pulled his party out of the supply-and-confidence agreement that had been helping keep Prime Minister Justin Trudeau's minority Liberals in power.
The Maritime provinces prepare to transition from summer to fall.
A car struck a cyclist during a demonstration at Portage and Main Wednesday afternoon.
Herds of salamanders are crossing the road in western Manitoba by the dozens.
A Winnipeg guitarist who's worked with artists like Corb Lund, Del Barber and Romi Mayes is asking for his two favourite guitars to be returned.
The Saskatchewan Roughrider’s 35-33 loss in the annual Labour Day Classic against the Winnipeg Blue Bombers marked the team’s sixth straight game without a win.
Saskatchewan RCMP say a 19-year-old is facing a lengthy list of charges after he was seen driving at 'extremely high rates of speed' between Kenosee Lake and Carlyle Saturday night.
Both Saskatchewan's trade and agriculture ministers have sent their concerns to Ottawa regarding an ongoing dispute involving Canadian canola shipped to China.
A Kitchener man has been sentenced to eight years in prison for the fatal shooting of Irshad Sabriye. But he'll only spend two more years behind bars.
Another community alert has been issued in Waterloo Region after dangerous substances were found in the local drug supply. We also get the region's reaction to the CTS shutdown.
No injuries were reported after a garage fire in Waterloo Wednesday morning.
A judge has ordered the Vern's Pizza in Saskatoon’s Sutherland neighbourhood to stop using the Vern's name after finding its franchise agreement expired in 2016.
A small Saskatchewan village has lost several important landmarks following a fire earlier this week.
The Saskatchewan Roughrider’s 35-33 loss in the annual Labour Day Classic against the Winnipeg Blue Bombers marked the team’s sixth straight game without a win.
Vale is moving ahead with dismantling the Superstack in Greater Sudbury, the mining giant announced Wednesday. The Superstack, along with the less famous Copperstack, are being taken down at the Copper Cliff Smelter Complex.
NDP Leader Jagmeet Singh has pulled his party out of the supply-and-confidence agreement that had been helping keep Prime Minister Justin Trudeau's minority Liberals in power.
A black bear cub survived a 10-hour drive to Windsor while being fed Taco Bell after being found in the middle of a road near Cochrane, Ont.
Currently there are no concerns for public safety, however the public is being advised to avoid the area of Broadway Street between Henry Street, James Street, and Emmot Street for the time being.
There are signs of progress at the site of the former McCormick’s cookie factory in London’s Old East Village, but the condition of the historic building continues to be a concern for both the ward councillor and neighbours.
The new school year got underway for most London area students today – and this year new province-wide rules for cell phones will be impacting classrooms.
Roughly two dozen people living in Berczy Park in Barrie will have to vacate after the city issued an eviction notice.
A dump truck driver is facing charges for allegedly being behind the wheel intoxicated after police said he failed to stop for a stop sign in Oro-Medonte.
The opening of a much-anticipated new road in Barrie that is expected to relieve traffic congestion in the city's south end is ahead of schedule.
Essex County OPP say that a child was located unresponsive in a swimming pool at an address on Huffman Road on Saturday.
The Windsor Police Service (WPS) has welcomed two new pups to the K9 Unit.
"There's something really special about the people that live in this town and there's something really special about going through hard times and how everybody comes together and supports each other." stated West Kent Councillor Lauren Anderson.
A pair of stranger attacks in downtown Vancouver left one man dead and another with a severed hand on Wednesday morning.
Scientists say new research shows how northern elephant seals used sonar from a deep sea research facility off the British Columbia coast like a "dinner bell" as they hunted for prey.
Veteran British Columbia legislator Mike Bernier will run in the fall provincial election as an independent instead of joining several former BC United candidates in running under the B.C. Conservatives banner.
Mounties in Kelowna are appealing to the public for help reuniting a stolen puppy named Lulu with its owner.
Authorities are urging parents in B.C.'s Okanagan to speak with their teenagers about the dangers of attending "unsanctioned" pre-graduation parties.
The driver of a semi truck and trailer that plunged off of a bridge in the B.C. Interior Saturday morning has not been located, according to police.
Southern Alberta farmers appear to be caught in the middle of a trade war, as the Canadian and Chinese governments face off on the international stage.
Students at the University of Lethbridge and Lethbridge Polytechnic were out in full force Wednesday as a new semester got underway.
Alberta sheriffs have closed a problem property in Lethbridge, saying they were called to the home over alleged drug activity more than a dozen times since 2022.
The head of a Sault Ste. Marie recovery centre is calling for changes from both upper levels of government.
Ontario Provincial Police say they found beer cans strewn on the road after hearing reports that a pickup truck hit a tree in Hilton Beach on St. Joseph Island.
It is only the second annual fall classic curling tournament in Sault Ste. Marie, but the number of teams and amount of the prize purse has grown exponentially.
A 16-year-old biennial event aimed at fostering business in the country's eastern Arctic and northern regions has been cancelled indefinitely as a dispute unfolds between Inuit in Canada and a Labrador group claiming to share their heritage.
Jim Lester’s farm hopped on the cow-cuddling trend in early August, and his time slots have been pretty well sold out ever since.
The federal government has temporarily paused parts of the newly reinstated commercial northern cod fishery off the east coast of Newfoundland as landings approach the seasonal limit.
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