Nvidia investors remain confident in the company’s dominance and long-term growth, despite a steep 17% sell-off on Monday. The decline was caused by DeepSeek, an AI app from a Chinese startup that has shaken Wall Street’s view of the AI boom.
However, retail traders are snapping up Nvidia shares at a record rate, purchasing $562 million worth of shares on Monday and another $921 million over two days. These investors plan to “buy the dip” and see the stock as an attractive entry point.
Several retail traders who spoke with Business Insider expressed their confidence in Nvidia’s technology and long-term growth trajectory. They questioned DeepSeek’s ability to compete with its larger US peers, citing the company’s superior chips and research and development efforts.
One investor said, “The recent market sell-off didn’t shake my confidence… I think it’ll pick back up.” Another investor noted that Nvidia is booked solid for quarters on orders and doesn’t see its dominance slipping.
The stock has endured a severe decline before, with shares plummeting 50% in 2022 amid a broader bear market. Investors are drawing parallels between this event and the current sell-off, viewing it as an opportunity to buy more shares at a discount.
Nvidia’s AI darling status remains intact, despite some forecasters sounding the alarm on the potential for a larger pullback. Analyst Dan Ives wrote, “Launching broader AI infrastructure is a whole other ballgame and nothing with DeepSeek makes us believe anything different.”
Source: https://markets.businessinsider.com/news/stocks/nvidia-stock-crash-tech-selloff-ai-chips-gpu-deepseek-traders-2025-1