Nvidia’s AI Boom Continues, But Slowing Growth Sparks Investor Worries

SAN FRANCISCO – Nvidia (NVDA.O) forecast its slowest revenue growth in seven quarters on Wednesday, signaling a potential slowdown in the rapid expansion of its AI chip business. Despite continued strong demand for its products, the company fell short of the high expectations set by investors, leading to a 5% drop in its shares after the results were announced.

The stock pared losses to trade down 2.5% in after-hours trading, following a 0.8% decline during the regular session. In early Frankfurt trade on Thursday, Nvidia’s stock was down 1.9%. This slowdown has raised concerns among investors about the sustainability of Nvidia’s rapid growth, which has made it the world’s most valuable semiconductor company.