Chip stocks are sliding on Monday as some of the biggest players in the space deal with new notes from analysts.
Nvidia (NASDAQ:NVDA) stock starts us off with Piper Sandler analyst Harsh Kumar dropping his price target for the shares from $250 to $235. For the record, the analyst consensus price target for NVDA stock is $261.41. The stock also closed Friday at $158.38.
Kumar lowered his price target for NVDA stock while maintaining an “overweight” rating. The price drop comes alongside sales concerns for prime markets, such as the U.S., Russia and China.
Advanced Micro Devices (NASDAQ:AMD) joins the sliding chip stocks today thanks to Barclays analyst Blayne Curtis. The analysts dropped their price target for AMD to $85 per share, as compared to the previous price target of $115 per share. AMD closed out Friday at $79.35 per share.
The Barclays analyst didn’t stop with AMD. They also dropped the price target for Intel (NASDAQ:INTC) from $45 to $40 per share. INTC stock was trading at $37.99 per share when markets closed on Friday.
So what’s behind that bearish update? Curtis has concerns about the chip companies being able to meet guidance for the second half of the year. That’s despite recent strength in the market. The effects of inflation appear to be the biggest factor contributing to this new stance on chip stocks.
NVDA is down 4.4%, AMD is down 3.1%, and INTC is down 2% as of Monday afternoon.
There’s more stock market news to dive into below!
We’ve got all the latest stock stories traders need to know about for Monday! That includes why Chinese electric vehicle (EV) stocks and Novavax (NASDAQ:NVAX) are moving, as well as the latest short squeeze stocks to watch. You can find all of that news at the links below!
More Stock Market News for Monday
- Why Are Chinese EV Stocks NIO, XPEV, LI Down Today?
- What Is Going on With Novavax (NVAX) Stock Today?
- 5 Top Short Squeeze Stocks to Watch This Week
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
