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NVIDIA Falls Following Nomura Downgrade, Analyst Concerned About Slowdown In Gaming

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NVIDIA Falls Following Nomura Downgrade, Analyst Concerned About Slowdown In Gaming
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NVIDIA Corporation (NASDAQ: NVDA) shares traded lower during Wednesday's after-hours session following a post-market downgrade from Nomura.

About an hour into the after-hours session, NVIDIA shares traded down nearly 2 percent to $108.82.

Nomura analyst Romit Shah lowered his recommendation on the stock from Buy to Reduce, a multi-notch downgrade. The analyst reduced his price target on NVIDIA shares from $100 to $90.

From where the stock is trading during Wednesday's after-hours session, Shah's new price target represented potential downside of about 17 percent.

Update: Click here for a full recap of Shah's downgrade.

Shah highlighted a concern with an integral part of NVIDIA's business: gaming. The analyst noted a belief the sell-side consensus has underappreciated the slowdown in video gaming.

Related Link: The Consensus On NVIDIA Is Still Pretty Positive

NVIDIA was one of the top performers in 2016, rising more than 200 percent.

NVIDIA shares have fallen about 5 percent since the company reported fourth-quarter results on February 9. Over the same time frame, the SPDR S&P 500 ETF Trust (NYSE: SPY) is up about 3 percent.

Today's news was first highlighted on Benzinga's Pro platform, a real-time solution for getting up-to-date breaking news.

To see all the recent recommendation changes on shares of NVIDIA, check out Benzinga.com's Analyst Ratings page for NVIDIA.

Latest Ratings for NVDA

DateFirmActionFromTo
Aug 2017Canaccord GenuityMaintainsBuy
Aug 2017CitigroupMaintainsBuy
Aug 2017NomuraMaintainsReduce

View More Analyst Ratings for NVDA
View the Latest Analyst Ratings

Posted-In: BZTV NomuraAnalyst Color Downgrades Price Target After-Hours Center Analyst Ratings Movers

 

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