NVDA Falls 1.37% as Chip Stocks Slide After GTC Rally

TLDR

Table of Contents

NVDA fell 1.37% to $177.93 on March 19 and led semiconductor stocks lower.
The stock opened in negative territory and continued to decline throughout the session.
Jim Cramer said NVIDIA broke its recent pattern of opening higher before reversing.
Micron reported fiscal Q2 revenue of $23.86 billion and beat earnings estimates.
MU shares dropped about 4.4% in after-hours trading despite strong guidance.

NVIDIA shares fell on March 19, and the decline pressured the broader semiconductor sector. The stock dropped 1.37% to $177.93 as traders reacted to oil spikes and weak chip sentiment. The move followed Micron’s after-hours slide and erased momentum from Jensen Huang’s GTC keynote.

NVIDIA Corporation, NVDA

NVDA Breaks Trading Pattern as Sector Turns Lower

NVDA opened lower and extended losses through the session, breaking a recent intraday pattern. CNBC’s Jim Cramer said the stock usually opened higher before reversing into the close. He stated, “Nvidia breaking the pattern of opening up and then reversing and going down.”

He added, “Today it went down from the get-go and then goes lower.” He asked, “Could it be the opposite today?” Meanwhile, he described semiconductor stocks as “very oversold” and expected attempts to test the moving average once or twice.

Cramer also referenced the so-called inverse Cramer effect tied to his market calls. He argued that oversold conditions could support a reversal rather than further losses. However, NVDA failed to hold gains recorded after the March 16 GTC keynote.

Jensen Huang announced $1 trillion in projected Blackwell and Vera Rubin orders through 2027. He also introduced a new inference chip based on Groq technology. The company unveiled the NemoClaw enterprise AI agent platform during the event.

Despite these updates, traders continued selling chip stocks on March 19. TD Cowen analysts said NVIDIA’s $4.45 trillion market cap could limit upside. They cited fund-flow and portfolio construction constraints as potential factors.

Micron Earnings Beat Fails to Halt Selloff

Micron Technology reported fiscal Q2 revenue of $23.86 billion, up from $8.05 billion a year earlier. The company posted adjusted earnings of $12.20 per share, above the $8.60 estimate. It guided Q3 revenue to $33.5 billion, topping the $24.3 billion consensus.

However, MU shares fell about 4.4% in after-hours trading. The stock had already gained 62% year to date before earnings. Traders focused on a capital expenditure forecast above $25 billion for fiscal 2026.

The prior outlook projected $20 billion in spending for that period. Cramer rejected bearish calls on Micron during his program. He said competitors were not expanding equipment or storage output.

He stated that Applied Materials, KLA, and Lam Research were not ramping production. He added that SanDisk, Western Digital, and Seagate were not expanding capacity. He concluded, “That’s why when the smoke clears, you buy, not sell.”

Oil Surge and Inflation Fears Weigh on Chips

Brent crude rose above $119 per barrel on March 19 after Iran attacked energy facilities. The strikes targeted sites in Qatar, Saudi Arabia, and the UAE. The conflict disrupted about 20% of global oil flows through the Strait of Hormuz.

Oil prices approached $100 earlier and then moved higher during the session. Trader Gareth Soloway warned that rising oil and inflation could pressure equities. He said charts “remain very bearish.”

The surge in crude lifted inflation expectations and weighed on growth sectors. Semiconductor stocks opened red and extended losses throughout the day. NVDA closed at $177.93, down 1.37% on the session.

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