Nvidia sinks, AMD and Broadcom rally: How chip stocks have traded amid Jensen Huang controversy

What happened

Nvidia shares fell 4.34% to $166.19 in Friday after-hours trading, while AMD gained 5.86% and Broadcom rose 5.54%. Over the week, Nvidia fell 11%, while AMD gained 30%, Broadcom advanced 24%, and TSMC rose 11%, amid controversy involving Jensen Huang.

Confirmed

Global impact / market context

The split in share performance shows investors are distinguishing among companies tied to artificial intelligence rather than buying the whole group together. If demand or market share shifts among chip designers, manufacturers such as TSMC could still benefit by producing processors for whichever designer wins orders.

Analyst inference

The article describes a volatile session for Nvidia, whose shares fell as much as 14% during regular trading before recovering and closing above a $4 trillion market value. It also says investors have rotated away from AI stocks viewed as riskier, supporting TSMC relative to chip designers.

Confirmed

What to watch

1. Watch whether Nvidia’s sharp weekly decline continues or reverses; sustained weakness could affect its ability to attract investor funding for future chip development and production. Analyst inference
2. Track whether AMD and Broadcom retain their weekly gains, which would indicate investors continue shifting money toward alternative chip designers rather than Nvidia. Analyst inference
3. Watch for further detail on Jensen Huang’s controversy and possible exit, which the article says could reshape competition across the AI supply chain. Analyst inference

Evidence

• Original source link unavailable