NVDA: Nvidia Stock Jumps 4% to Erase Some Losses from Worst Session in 4 Years

Markets saw an opportunity to buy the dip and didn’t hesitate to make a move following a 10% plunge on Friday.

Key Points:

• Nvidia rebounds after 10% Friday drop.
• Can a mega-cap stock run on froth?
• Big Tech lines up to report earnings.
• Nvidia stock NVDA closed up by 4% on Monday as investors didn’t hesitate to rush back into the AI play following a steep plunge. On Friday, the chip giant nosedived to a 10% loss, wiping out $212 billion amid a broad-based pullback in the artificial-intelligence stock corner.
• The leg up on Monday helped support the narrative that Nvidia is still the undisputed AI bet, flashing hefty gains on the year. In reality, things may not be that black and white. For the last week, Nvidia waved goodbye to a 14% chunk of its valuation. It was an indication that there could be froth even in the upper-echelon of stocks. Especially when a $2 trillion mega-cap behemoth sheds more than $200 billion in one day.
• Looking ahead, Nvidia is slated to report first-quarter earnings on May 22. Before that, markets are in for a flurry of Big Tech earnings. This week, about 180 companies from the S&P 500 report their financials for the first quarter. And the Magnificent Seven is expected to steal the show with some stellar figures.