New York, Feb 5, 2026, 14:50 ET — Regular session.
- Nvidia shares dipped in afternoon trading following a steep tech selloff fueled by concerns over AI valuations just the day before.
- Fresh headlines on OpenAI and new U.S. export rules for AI chips bound for China are catching investors’ attention.
- Attention turns to Nvidia’s earnings on Feb. 25, with investors eager for updates on demand, supply issues, and China licensing.
Nvidia shares slipped 0.7% to $173.04 Thursday, retreating after a sharp fall the day before. The stock fluctuated between $171.35 and $178.37 during the session.
Wall Street’s renewed jitters over hefty AI investments weighed on megacap tech stocks. Alphabet revealed plans to almost double its capital spending this year, potentially reaching $185 billion, sparking fresh doubts about when—or even if—that will translate into profits.
The caution is proving more than a brief stumble. Nvidia slid 3.4% on Wednesday, while the Philadelphia Semiconductor Index tumbled 4.4%. Investors are pulling back from expensive growth stocks, casting doubt on how much further the AI-driven rally can extend purely on expectations.
Chip stocks showed a mixed pattern Thursday. Advanced Micro Devices dropped 4.3%, but Broadcom climbed roughly 2.1%, and U.S.-listed Taiwan Semiconductor Manufacturing added 0.8%.
Nvidia is caught up in this week’s chatter around OpenAI. Reuters says OpenAI isn’t satisfied with certain Nvidia chips used for “inference,” the phase where an AI model produces responses, and is reportedly considering other options. Reuters
Separately, Nvidia is close to striking a deal to pump about $20 billion into OpenAI in its upcoming funding round, according to a source familiar with the discussions who spoke to Reuters. The talks remain unfinished, the source added.
CEO Jensen Huang moved quickly to quell rumors. Speaking to CNBC, he confirmed Nvidia is open to backing OpenAI’s upcoming fundraising and a future IPO. Huang also insisted the company’s investment timeline is still intact, despite earlier reports of setbacks.
China remains another sticking point. The Trump administration is open to letting ByteDance purchase Nvidia’s H200 chips, but Nvidia hasn’t accepted the proposed conditions — such as a “Know-Your-Customer” rule — a source familiar with the situation said. Reuters
Even with earlier approvals, shipping hurdles persist. The Financial Times noted that H200 sales to China are caught up in a U.S. national security review, stalling some Chinese buyers from placing orders. Reuters said it couldn’t confirm the report right away.
Speaking at an AI event this week, Huang dismissed the widespread concern that new AI tools will slash demand for traditional software, labeling it “the most illogical thing in the world.” The remark came as software stocks absorbed the heaviest losses in the selloff. Reuters
Competition isn’t sitting still. Intel’s CEO announced plans to develop GPUs for data centers, a market Nvidia has made its mainstay. The company has also brought on a chief GPU architect to head the project.
Nvidia is set to release its earnings report and hold a conference call on Feb. 25. Investors will be watching closely for changes in demand trends, supply issues, and updates on sales prospects in China.
