Please ensure Javascript is enabled for purposes of website accessibility

Could This Be a Big Risk for NVIDIA Stock?

By Jose Najarro - Jun 29, 2021 at 10:00AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Too much good news in a short time has NVIDIA's stock price climbing to new highs.

In today's video I look at recent news for NVIDIA (NVDA -3.97%). The stock price is reaching new highs, but could this be increasing the risk for stockholders? Below I share a few highlights from the video. 

  1. It was recently reported that Broadcom (AVGO -2.33%), Marvell (MRVL -7.79%), and MediaTek (MDTKF) are backing the NVIDIA acquisition of Arm. Each company has its reasons for supporting the acquisition. Still, the widespread consensus is that this acquisition will help accelerate innovation and adoption of the Arm-based technology, which can fuel the growth of numerous companies.
  2. The excitement of the upcoming stock split and the backing for the Arm acquisition by major semiconductor companies has fueled the stock price to reach new levels. Now NVIDIA could risk seeing a downturn in stock if any negative news comes out toward the acquisition.
  3. Long-term investors should remember stock prices go up and down. Trying to time the market can lead to missed opportunities.

Click the video below for my full thoughts and analysis. 

*Stock prices used were the closed prices of June 28, 2021. The video was published on June 28, 2021. 




Jose Najarro owns shares of NVIDIA. The Motley Fool owns shares of and recommends NVIDIA. The Motley Fool recommends Broadcom Ltd and Marvell Technology Group. The Motley Fool has a disclosure policy. Jose is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

NVIDIA Corporation Stock Quote
NVIDIA Corporation
NVDA
$170.86 (-3.97%) $-7.07
Broadcom Limited Stock Quote
Broadcom Limited
AVGO
$532.80 (-2.33%) $-12.73
Marvell Technology Group Ltd. Stock Quote
Marvell Technology Group Ltd.
MRVL
$51.26 (-7.79%) $-4.33
MediaTek Inc. Stock Quote
MediaTek Inc.
MDTKF

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
379%
 
S&P 500 Returns
123%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 08/09/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.