Here's what happened:
- Nvidia's stock price dropped 10% recently.
- This decline seems to be triggered by concerns in the broader AI sector, rather than any bad news from Nvidia itself.
- Another AI company, Super Micro Computer, failed to release a preliminary earnings report, spooking investors about the health of the AI industry.
Here are some things I consider:
- Nvidia's long-term prospects: I am bullish on the future of artificial intelligence. Nvidia is a leader in this field, so I believe AI is going to grow, Nvidia could still be a good investment.
The current market sentiment: The stock market is going through a correction right now, and tech stocks have been hit particularly hard. This could be a buying opportunity, but it's also possible that the stock price could fall further.
Your own risk tolerance: Can you afford to lose money on this investment?
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