New York, June 16, 2026, 10:05 ET
- Nvidia shares slipped at the open after jumping Monday on news of its first big bond sale since 2021.
- The company is looking to raise $25 billion and has drawn around $85 billion in orders from investors, according to reports.
- Nvidia’s next scheduled company event is the annual stockholder meeting on June 24. The main valuation hurdle is still whether it can hit the $91 billion fiscal Q2 revenue target.
Nvidia Corporation (NASDAQ: NVDA) fell about 1.2% early Tuesday, trading near $209.98 after a strong bond-sale rally on Monday. The chipmaker ended Monday at $212.45, pushing its market value past $5 trillion, but the stock lost some ground as investors wrestled with a richer balance sheet and high valuation. The Invesco QQQ Trust, which tracks the Nasdaq 100, edged down, while the iShares Semiconductor ETF was close to unchanged. According to current market data, Nvidia’s price-to-earnings ratio, or P/E ratio, is around 32.
Nvidia shares climbed Monday after the company’s bond sale was seen as a signal of financial strength, not trouble. Reuters reported Nvidia plans to raise $25 billion through a U.S. bond deal, upsized from $20 billion after it got about $85 billion in demand. The sale is split into seven tranches, with maturities out to 2056. The company is issuing senior unsecured notes, which are not tied to any collateral but pay out ahead of shareholders if Nvidia needs to pay back creditors. Proceeds will go to general corporate uses, including paying back and refinancing some existing notes, Nvidia said.
This matters for the stock: more debt can let Nvidia fund growth without diluting current shareholders. Investors also get a live look at what it costs Nvidia to borrow just as AI hardware spending is emerging as a giant issue in corporate finance. Still, debt means more leverage, and the valuation is tied to customers keeping up heavy AI chip orders. Reuters reported that Big Tech will spend over $700 billion on AI this year, up from $400 billion last year, a positive for Nvidia now but a bigger risk if demand cools later.
Nvidia’s growth story is still intact. The company posted first-quarter revenue of $81.6 billion, up 85% year over year, and Data Center revenue hit $75.2 billion, up 92%. CEO Jensen Huang pointed to the “buildout of AI factories — the largest infrastructure expansion in human history” and said it’s moving “at extraordinary speed.” For the second quarter, Nvidia expects revenue of $91.0 billion, give or take 2%. The company also signed off on another $80 billion in share buybacks and lifted its quarterly dividend to $0.25. NVIDIA Newsroom
Nvidia is trading as if it can keep delivering. The company’s forecast doesn’t count on Data Center compute sales from China—export rules and geopolitics still hang over the story. The fresh bond deal spells out how much AI is now hitting capital markets. A pullback from hyperscalers, weak AI returns, or stronger custom chip competition could hit the 32x earnings multiple hard, even if profits stay high. Right now, the stock appeals if you’re sure AI infrastructure demand keeps running. Otherwise, after this surge, it’s priced about right or already looks risky.
Nvidia’s next big date is the 2026 annual stockholder meeting set for June 24, 9 a.m. PT. Investors are keyed on possible comments about capital returns, recent bond proceeds, China exposure, and demand levels for Blackwell and future AI platforms. Attention is turning to how Nvidia handles the $91 billion quarterly revenue forecast and whether it can land another clean beat without pressure showing up in margins, supply chain, or AI spending from customers.
