We recently published a list of Why These 15 Big-Cap Stocks Are Plunging So Far in 2025. In this article, we are going to take a look at where NVIDIA Corporation (NASDAQ:NVDA) stands against other big-cap stocks that are plunging so far in 2025.
The market has been reversing its gains earlier in the year, so much so that the S&P 500 is now down 1.5% year-to-date. The past two years have seen the same index post stellar gains back-to-back, and those gains were mostly spearheaded by big-cap stocks.
However, historically speaking, the market delivering a third year of such returns would be unprecedented. Investors believe that 2025 will likely be a year when the market starts to cool off, and recent events have started a trend toward just that.
Big-cap stocks are now leading the way down as tariff and AI-related fears hurt them the most. Many big-cap companies have invested significantly in these tech trends, which investors have now soured on.
Still, it’s a good idea to keep an eye on the big-cap losers year-to-date. Many of them have declined enough to open up buying opportunities.
Methodology
For this article, I screened the worst-performing big-cap stocks year-to-date.
I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A close-up of a colorful high-end graphics card being plugged in to a gaming computer.
NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders In Q4 2024: 223
NVIDIA Corporation (NASDAQ:NVDA) is the poster child of the AI rally. The semiconductor company makes high-end chips for AI.
The stock is down significantly so far in 2025 due to several reasons. First, the DeepSeek spook caused it to drop 17%, and while it did recover from that a little, it started declining again as broader AI industry fears gripped Wall Street.
Nvidia’s recent earnings report didn’t manage to beat earnings estimates by a wide enough margin. Moreover, President Donald Trump’s enactment of tariffs on imports caused it to tumble even more.
The company is also facing risks of more export restrictions not only for its China exports but also for chip exports in Singapore and Vietnam.
The consensus price target of $169.62 implies 46.24% upside.
NVIDIA Corporation (NASDAQ:NVDA) stock is down 13.63% year-to-date.
Overall, NVDA ranks 9th on our list of big-cap stocks that are plunging so far in 2025. While we acknowledge the potential of NVDA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NVDA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap
Disclosure: None. This article is originally published at Insider Monkey.
