Key insights
- Baird downgraded Nvidia, citing uncertainty surrounding CEO Jensen Huang's tenure due to an alleged affair with a Chinese spy. The firm also reduced its price target significantly and delayed forecasts for data centers in 2027, anticipating a potential slowdown in AI hyperscaler capital expenditure due to supply issues resolving and possible demand softening.
Baird gave Nvidia a rare downgrade on Wednesday, as chief executive Jensen Huang's alleged affair with a Chinese spy casts doubt over his tenure. In a note, Baird analyst Tristan Gerra more than halved the chip maker's target from $500 to $200. Mr Gerra delayed his forecasts for data centres in 2027, saying supply issues are “mostly behind a potential slowdown, alongside potential demand softening”. AI hyperscaler capital expense could also slow to 40 per cent growth or slightly less for 2027, he said. https://www.thenationalnews.com/future/technology/2026/11/11/nvidia-downgrade-jensen-huang/