Volume Stonkers | NVIDIA fell 2.10%, Tesla Decreased as Investor Halved Position
AInvestWednesday, Aug 28, 2024 5:30 pm ET
3min read
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NVIDIA, the top stock by trading volume, fell 2.10% with a trading volume of $51.183 billion. Despite reporting $30 billion in revenue for Q2, a 122% year-over-year increase, and approving an additional $50 billion stock repurchase plan, the stock price declined due to low Blackwell material inventory affecting gross margins. The company projects that by fiscal year 2025, annual revenue from software, SaaS, and support businesses will approach $2 billion.

SMIC, ranked second, plummeted 19.02% with a trading volume of $15.687 billion. The stock saw a significant drop due to delayed 10-K report filings and being targeted by Hindenburg Research. Additionally, chip and AI-related stocks generally followed NVIDIA's downturn.

Tesla, in third place, decreased by 1.65% with a trading volume of $13.057 billion. The stock price dropped as a well-known long-term investor halved their position and market interest in Tesla's cars and robots waned. Moreover, Tesla was reported to be equipping its Model X with LiDAR technology.

Apple, ranked fourth, fell 0.68% with a trading volume of $8.576 billion. The upcoming launch of Apple's first AI iPhone, which is expected to initiate a new "super upgrade cycle," did not boost the stock price. Additionally, Apple reached an agreement with Bharti Airtel to enter the Indian streaming market.

Microsoft, in fifth place, declined 0.78% with a trading volume of $5.710 billion. The stock price was affected by news of OpenAI's valuation exceeding $100 billion in financing negotiations. Evercore maintained its "buy" rating for Microsoft with a target price of $500.

Amazon, ranked sixth, decreased by 1.34% with a trading volume of $4.879 billion. The formal release of Amazon Web Services' parallel computing service, aimed at accelerating scientific discoveries, did not prevent the stock from following NVIDIA's decline.

Advanced Micro Devices (AMD), in seventh place, fell 2.75% with a trading volume of $4.865 billion. AMD's stock followed the general decline in chip and AI-related stocks, significantly impacted by NVIDIA's earnings report.

Pinduoduo, ranked eighth, dropped 7.03% with a trading volume of $4.783 billion. The stock price continued to fall due to the recently released weak Q2 earnings report.

Meta, in ninth place, decreased by 0.45% with a trading volume of $4.651 billion. Meta plans to pivot towards AI development and will showcase new AR glasses at the Meta Connect conference, but the market response was tepid.

Salesforce, ranked tenth, fell 1.97% with a trading volume of $2.796 billion. Although Salesforce exceeded Q2 earnings expectations and released an optimistic outlook, the stock rose post-market after announcing a CFO change.

Broadcom, in eleventh place, declined 1.99% with a trading volume of $2.790 billion. Broadcom launched a platform to accelerate cloud-native application delivery and unveiled the Rally Anywhere enterprise agile platform at VMware Explore 2024.

Alphabet's Class A shares (Google A), ranked twelfth, fell 1.11% with a trading volume of $2.647 billion. Alphabet faced accusations of monopolizing the local search and ad markets, and concerns arose about its growth prospects after its data center plan in Ireland was rejected.

Micron Technology, in thirteenth place, dropped 3.07% with a trading volume of $2.352 billion. Despite investing NT$7.4 billion to acquire AUO's Tainan plant for future wafer testing, the stock price still declined.

Alphabet's Class C shares (Google C), ranked fourteenth, fell 1.13% with a trading volume of $2.344 billion. Alphabet announced the launch of AI-based portrait image generation technology, but the market reaction was lukewarm, leading to a decline in the stock price.

Berkshire Hathaway's Class B shares, in fifteenth place, rose 0.84% with a trading volume of $2.193 billion. Berkshire's market value surpassed $1 trillion for the first time, and it sold $981.9 million of Bank of America common stock.

TSMC, ranked sixteenth, fell 0.78% with a trading volume of $1.722 billion. Despite strong sales of its 3nm and 5nm products, the overall market sentiment was weak, leading to a slight decline in the stock price.

CrowdStrike Holdings, in seventeenth place, dropped 2.09% with a trading volume of $1.720 billion. Although CrowdStrike reported better-than-expected earnings, a network outage incident delayed some transactions, leading to a decline in the stock price.

Netflix, ranked eighteenth, fell 1.71% with a trading volume of $1.641 billion. Despite partnering with Bharti Airtel in India, declining U.S. consumer spending on streaming services dragged down the stock price.

Bank of America, in nineteenth place, rose 0.73% with a trading volume of $1.613 billion. Berkshire Hathaway sold some Bank of America stock, with the transaction amounting to approximately $981.9 million.

Eli Lilly, ranked twentieth, fell 0.58% with a trading volume of $1.598 billion. Eli Lilly launched a more affordable small-bottle weight-loss drug, reducing patient costs, and Jefferies raised its price target to $1,113.
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