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The Weekend: Nvidia just can't please its insatiable investors

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At the forefront of investors' minds last week was the fourth-quarter report card of Nvidia (NVDA), the semiconductor giant whose performance has become a bellwether for AI demand.

Having contributed almost a quarter of the S&P 500's (^SPX) growth last year, expectations were high for the US chipmaker, and it delivered once again after the bell on Wednesday, beating estimates with its soaring revenues.

However, this didn't seem enough to satisfy investors, and the company's stock price plummeted the next day before recovering some, but not all, of the lost ground.

Here are some highlights from the last seven days, plus a glimpse at the week ahead.

Key moments from last week

Nvidia's market cap dips below $3tn as earnings are no match for sky-high expectations

The chipmaker's revenue of $39.3bn (£31.45) topped Wall Street's estimates, as did its forecast turnover for the first three months of 2025.

However, there was a fly in the ointment: its outlook for gross margin was below estimates, something that may indicate pricing pressure amid stiffening competition.

This undoubtedly played a part in the stock's 8.5% plunge on Thursday.

Or perhaps the market has merely become immune to anything less than miraculous from Nvidia (NVDA). "Investors are yawning," as one analyst put it.

Top rated European stock alternatives to Nvidia and US Big Tech

Nvidia isn't the only member of the Magnificent 7 having a tough time convincing previously awe-struck investors of its long-term appeal.

The emergence of China's DeepSeek earlier in February threw an unwelcome spotlight on the level of their AI spending, and strong report cards have done little to aid the recovery of their share prices.

For those who are losing their confidence in the American Big Tech behemoths, it turns out there are a number of highly rated European alternatives to get behind.

Aston Martin is biggest FTSE 250 loser as EV plans delayed again

It was a bad week for the maker of James Bond's vehicle of choice. Aston Martin (AML.L)'s shares plummeted after it announced job cuts and the further delay of an electric car.

2024 was a challenging year for the luxury carmaker, which twice turned to investors to raise additional funds amid profit warnings. Its stock fell 13% on Wednesday, after the results came out.

Why Tesla's stock has given up nearly all of its Trump election gains

Demonstrators take part in a protest against Elon Musk and Tesla outside of a Tesla showroom in New York
Demonstrators take part in a protest against Elon Musk and Tesla outside of a Tesla showroom in New York. · ASSOCIATED PRESS

Another carmaker having a rough ride is Elon Musk's Tesla (TSLA). Its shares are down 40% from an all-time high in December, as a series of political moves by Musk appear to be harming the stock.