Chip Bull Run Teeters as Nvidia, Applied Add to Gloom
- Cryptocurrency crash, hesitant customers, trade war are issues
- Stock declines extend plunge touched off by Texas Instruments
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Carnage in chipmaking stocks continued Friday after disappointing sales forecasts from Nvidia Corp. and Applied Materials Inc. weighed on the group, adding to evidence that a half-decade long bull run for the $400 billion semiconductor industry is coming to a close.
Nvidia, the leader in chips for computer graphics, tumbled 20 percent, the most in 10 years, after projecting sales for the current quarter that also fell short of analysts’ estimates. Disappearing cryptocurrency orders resulted in higher inventory levels, while falling prices failed to spark demand, Chief Executive Officer Jensen Huang said.