Why Nvidia Stock Lost 11% in January

Shares of Nvidia (NASDAQ: NVDA) suffered a double-digit decline in January, primarily due to the threat from Chinese artificial intelligence (AI) start-up DeepSeek.AI stocks plunged on Jan. 27 as investors reacted to the new chatbot DeepSeek R1 and DeepSeek's 22-page research paper that explained the engineering and technology behind the low-cost, open-source AI model. Among other things, DeepSeek claimed that it cost just $5.5 million to train the model, a tiny fraction of the billions that Nvidia's customers have paid for the components that run AI chatbots like ChatGPT.According to data from S&P Global Market Intelligence, the stock finished the month down 11%. As you can see from the chart below, Nvidia was in the green for most of the month until the DeepSeek news sank the stock.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool