Nvidia's stock has taken a significant hit, losing 22% from its October record after five consecutive weeks of declines. The company's market value has dropped by approximately $1.27 trillion, despite a 3% rebound on Friday, November 6, 2026. The stock closed at $186.71, down from its peak of $239.24 on October 6, 2026. Analysts attribute the worst day since the DeepSeek sell-off to the Democrats winning Congress, as candidates from both parties campaigned against AI data centers.
The broader chip sector also suffered, with the PHLX Semiconductor Index falling 12.15% for the week, marking its fifth straight weekly loss. Advanced Micro Devices (AMD) saw an 11% jump on Friday, but the overall index remains 35.84% below its June 22, 2026 record. The S&P 500 and Nasdaq Composite lost 2.68% and 3.37% respectively, indicating that the selling pressure was particularly harsh on chip stocks.
Historical data suggests that Nvidia's stock has typically recovered after similar losing streaks. Since its 1999 IPO, there have been 12 losing runs of five weeks or longer. The longest was seven weeks in the summer of 2008. Looking ahead 13 weeks, Nvidia's stock was higher only five times, but one year out, it was higher eight times. The worst case was in 2002, when the stock lost nearly two-thirds of its value over the following year.
The upcoming November 17 earnings report is crucial for Nvidia's recovery. The company needs to meet or exceed its $108.0 billion revenue guidance and provide clear commentary on whether customers are adjusting their build plans post-election. A close above the October 30 level of $204.64 would support a recovery, while a close below $181.60 could indicate further selling.