Shares of Nvidia (NASDAQ: NVDA) plunged this week after the company's stock received a price target cut, some analysts had a few negative comments about the chip market, and investors worried that comments made from another chip company about slowing demand might mean bad news for Nvidia as well. Investors panicked a bit on all this news and sent the semiconductor stock falling 15.3% over the past week. Nvidia started off the week with Morgan Stanley warning that there could be a potential slowdown in demand for graphics processors as Ethereum, a leading blockchain and cryptocurrency, switches to a proof-of-stake model and away from its current proof-of-work setup.
Despite beating earnings last night, computer memory maker Micron Technology (NASDAQ: MU) released weak guidance for the coming quarter -- earnings as much as 45% below what Wall Street is expecting. As of 11:30 a.m. ET, shares of this Micron peer and semiconductor leader are down 3.3%. What was it that Micron said that's spooking investors in Nvidia?
Tech companies continue to hit the breaks on hiring against the backdrop of a declining stock market and recession fears.