Nvidia to fall nearly 20% on increasing competition from AMD, high valuation, analyst says

Nvidia to fall nearly 20% on increasing competition from AMD, high valuation, analyst says
Nvidia to fall nearly 20% on increasing competition from AMD, high valuation, analyst says

Instinet lowered its rating on Nvidia to reduce from buy, saying the company's earnings will come in below expectations this year due to a more difficult gaming graphics market.

"We believe consensus is underappreciating a slowdown in gaming and the potential negative impact to the multiple," analyst Romit Shah wrote in a note to clients Wednesday. "We recommend investors take profits."

Nvidia shares are up 251 percent in the past 12 months due to better-than-expected sales results from its graphics card segment.

CNBC

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