Tech Giants' Tumultuous Takedown

Nvidia, Tesla Drag Wall Street Lower

By Staff, Newser Staff

Nvidia and Tesla, two of the most popular stocks on Wall Street, took a hit Monday, leading the market lower.

Nvidia's stock price plunged 14.5% to $255.49 after the company announced its quarterly earnings missed expectations. The chipmaker's revenue and profit both fell short of forecasts, sparking concerns about the company's ability to continue its growth momentum.

Tesla's stock price also fell sharply, dropping 10.5% to $683.99. The electric car maker's quarterly earnings report was mixed, with the company beating expectations on revenue but missing on profit. However, the report was overshadowed by concerns about the company's cash burn rate and the competition it faces in the electric vehicle market.

The declines in Nvidia and Tesla's stock prices had a ripple effect on the broader market, with the Dow Jones Industrial Average falling 1.2% to 26,948.24. The S&P 500 also fell 1.2% to 3,115.29, while the Nasdaq Composite dropped 1.5% to 9,144.51.

The declines in Nvidia and Tesla's stock prices were a major factor in the market's decline Monday. Both companies are highly influential in the tech sector, and their struggles have a significant impact on the broader market.

Nvidia's decline was particularly notable, as the company has been a key driver of the tech sector's growth in recent years. The company's graphics processing units (GPUs) are used in a wide range of applications, including gaming, artificial intelligence, and cryptocurrency mining.

Tesla's decline was also significant, as the company is one of the most popular and influential electric vehicle makers in the world. The company's stock has been highly volatile in recent months, and the decline Monday was the latest in a series of ups and downs.

Despite the declines, many analysts remain bullish on Nvidia and Tesla, citing their strong growth potential and the increasing importance of their products in the tech sector. However, the declines Monday were a reminder that even the strongest companies can experience setbacks, and that investors should always be prepared for unexpected declines.