Form 144 GRANITE CONSTRUCTION INC For: 28 August

Nvidia shares experienced a slight decline, attributed to softer-than-expected data center revenue performance and ongoing risks associated with its operations in China. This movement highlights potential headwinds for the company in key growth segments and geopolitical challenges impacting its market valuation.

Analysis

Nvidia (NVDA) shares are facing downward pressure attributed to two primary factors: softer-than-expected revenue from its critical data center segment and persistent geopolitical risks associated with China. The weakness in data center performance is particularly noteworthy as this division has been the principal engine of the company's recent hyper-growth, suggesting a potential moderation in demand or a shift in the market landscape. Concurrently, the mention of China risks underscores the ongoing vulnerability of Nvidia's revenue streams to trade policies and export controls, a material headwind that adds a layer of uncertainty to the company's outlook. These developments challenge the prevailing bullish sentiment and indicate that even market leaders are susceptible to segment-specific performance issues and macroeconomic pressures.

Key Decisions for Investors

• Investors should closely monitor Nvidia's upcoming earnings reports for any further guidance on the data center revenue trajectory to assess if this softness is a transient issue or a new trend.
• Given the highlighted China risks, it is prudent to track US-China trade relations and potential new semiconductor export controls, as these could materially impact future earnings.
• Current holders of NVDA may consider reviewing their position size or evaluating hedging strategies to mitigate downside risk from these identified headwinds in the data center and geopolitical arenas.