Nvidia suffers the biggest weekly market-cap loss on record
Nvidia shed $573 billion in market value this week, the largest weekly loss for any company on record, and its market cap fell below $4 trillion on Friday.
A record week, in the wrong direction
Nvidia closed the week below a market value of $4 trillion on Friday, after shedding $573 billion in a single week. It was the largest weekly loss of market value for any company on record, according to Dow Jones Market Data, and it capped a week in which the chipmaker was rattled by the resignation of founder Jensen Huang. By Friday morning, the company had already lost $493 billion since November 6, including $182 billion on Thursday alone.
The scale of the fall is hard to overstate. Since its peak on October 6, Nvidia has lost more than $1.8 trillion in market value, falling from about $5.77 trillion to about $3.92 trillion. That decline alone is larger than the entire current market value of Tesla, of Meta Platforms, or of Berkshire Hathaway. The shares are now down 13% this year, after a 50% fall in 2022, the last year the stock ended lower.
Still a behemoth, but with questions to answer
Even after the fall, Nvidia remains a giant. It still holds a dominant position in the chips that power artificial intelligence, and its market value of about $4 trillion keeps it among the largest companies in the world. But the week has damaged the image of a company that once looked untouchable, and it has raised questions about its longer-term prospects after Huang. Colette Kress is steering the company for now.
The next test comes on Tuesday, when Nvidia reports quarterly results. The report arrives at a moment when the market is questioning the company's longer-term runway after Huang, and investors will be watching whether the numbers can steady confidence in the business. For now, the market has delivered its verdict on the week: the biggest weekly loss of value any company has ever recorded.
What the week changed
The week changed how the market talks about Nvidia. A company that spent the year as the face of the artificial intelligence boom is now the symbol of how fast that boom can reverse, at least for one stock. The $573 billion lost in a week is more than most companies are worth in total, and it arrived in days, not months. What has not changed is the size of the business underneath: the chips, the customers, and the demand for computing power that made Nvidia one of the most valuable companies in the world. The results on Tuesday will show how much of that story still holds.
- $573 billionMarket value lost this week, the largest weekly loss on record
- More than $1.8 trillionMarket value lost since the October 6 peak
- $5.77 trillionMarket value at the October 6 peak
- $3.92 trillionMarket value on Friday, below $4 trillion
- 13%Fall in the shares this year
