Market Volatility and Tech Stock Performance
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 17 2026
0mins
Source: CNBC
- Tech Stock Weakness: The Nasdaq, S&P 500, and Dow are nearly flat at the start of the shortened trading week, with the S&P 500 and Dow experiencing four out of five weeks of losses, reflecting ongoing market unease over software stocks like Salesforce and CrowdStrike, which is pressuring the broader tech sector.
- Apple's Stock Rise: Apple shares rose 1.4%, seen as an 'AI beneficiary' due to its partnership with Alphabet for AI features without massive capital expenditures, contrasting sharply with competitors like Meta and Microsoft, which plan to spend tens of billions on AI, potentially leading to flat or slightly positive free cash flow.
- Financial Stocks Recovery: Wells Fargo shares increased by 1.3%, supported by strong performance in the financial sector, recovering from a more than 7% drop last week, indicating a gradual return of market confidence in financial stocks.
- Cybersecurity Stock Pressure: Shares of Palo Alto and CrowdStrike fell approximately 2% and 5%, respectively, despite strong long-term demand for their cybersecurity solutions; however, concerns about AI's impact on cybersecurity persist, with Palo Alto set to report earnings after the bell on Tuesday, needing strong results to counter negative narratives.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy NVDA?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 208.190
Low
200.00
Averages
264.97
High
352.00
Current: 208.190
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is an artificial intelligence (AI) infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. Its segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing and networking platforms and AI solutions and software, and automotive platforms and autonomous and electric vehicle solutions, including software. The Graphics segment includes GeForce GPUs for gaming and personal computers (PCs), and Quadro/NVIDIA RTX GPUs for enterprise workstation graphics. Its technology stack includes the foundational NVIDIA CUDA development platform that runs on all NVIDIA GPUs, as well as hundreds of domain-specific software libraries, frameworks, algorithms, software development kits (SDKs), and application programming interfaces (APIs). Its platforms address four markets, which include Data Center, Gaming, Professional Visualization, and Automotive.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
OpenAI Plans 10-Gigawatt Data Center in Ohio
- Data Center Development: OpenAI is in discussions with SB Energy to lease a proposed 10-gigawatt data center on federal land in Ohio, with an estimated construction cost of at least $500 billion, reflecting strong demand for high-performance computing.
- Long-Term Lease Agreement: Under a 20-year lease, OpenAI will control the facility's equipment, with payments commencing once operations begin, expected in 2028, indicating the company's strategic positioning for future computing capabilities.
- Nvidia's Support: Nvidia is expected to supply hardware for the facility and provide financial guarantees for OpenAI's lease and SB Energy's financing, which not only enhances OpenAI's financial security but may also expedite the project's progress.
- Industry Impact: This data center will be among the largest of its kind, marking OpenAI's further expansion in the AI sector while potentially driving investments and developments in high-performance computing infrastructure across the industry.
See More
SpaceX Aims for 2027 Demonstration of Orbital AI Computing Infrastructure
- Orbital Compute Initiative: SpaceX aims to launch initial demonstrations of its orbital AI computing infrastructure by late 2027, ahead of the 2028 timeline disclosed in its IPO filing, showcasing the company's confidence in future technology and market potential.
- Investor Presentation Highlights: During investor meetings, SpaceX executives emphasized their unique advantage in commercializing orbital AI compute, claiming to be the only company with a viable path, which is likely to attract more investor interest in their $75 billion IPO fundraising plan.
- Satellite Launch Permission Request: SpaceX has requested permission from regulators to launch up to 1 million space-based data-center satellites, indicating its ambitious plans in the orbital computing sector, which, if successful, would significantly enhance its market competitiveness.
- Technical Challenges and Confidence: Despite delays in Starship rocket development, CEO Elon Musk stated that building orbital AI data centers is not a difficult engineering challenge, as it will leverage existing technology from the Starlink satellite network, thereby boosting investor confidence in the project.
See More
Iren Positions Itself as AI Data Center Leader
- Major Partnership Agreement: Iren signed a five-year, $3.4 billion deal with Nvidia covering 60 megawatts of computing capacity, which not only enhances Iren's position in the cloud infrastructure market but also provides favorable conditions for assessing its newly announced 800 MW data center in Australia.
- Infrastructure Expansion: Iren's infrastructure pipeline has increased to 5.8 gigawatts, doubling from 2.9 gigawatts at the beginning of the year, demonstrating the company's rapid expansion in global markets, particularly in enhancing its market share in Europe and Australia.
- Revenue Potential Increase: Based on the agreement with Nvidia, Iren anticipates generating $65.7 billion in annual recurring revenue, a figure that will significantly boost the company's profitability, especially against the backdrop of surging AI computing demand.
- Enhanced Financing Capability: Iren successfully completed a $3 billion convertible note offering and $3.65 billion in GPU financing, indicating strong confidence from financial institutions in its ability to convert energy into scalable revenue, with further large deals expected to solidify its market position.
See More
Corning's Optical Fiber Business Poised for Explosive Growth
- Surging Fiber Demand: Corning's stock has soared by 230% over the past year, primarily driven by the high demand for its fiber-optic cables, which accelerate processing speeds in AI workloads, highlighting the company's strategic significance in the AI era.
- Major Partnership Agreement: Amazon announced a multiyear deal with Corning, estimated at around $6 billion, joining Meta and Nvidia, which will fuel explosive growth in Corning's revenue and earnings, further solidifying its market position.
- New Product Launch: Corning's newly launched Multicore Fiber (MCF) increases fiber density fourfold, allowing data center operators to achieve the same performance with 75% fewer cables, potentially triggering significant changes in the AI era.
- Profitability Enhancement: Corning's optical communications segment generated $1.8 billion in revenue during Q1 2026, a 36% year-over-year increase, with net income reaching $387 million, up 93%, demonstrating the company's pricing power and profit potential in a high-demand environment.
See More
US Stocks Plunge Amid Rising Geopolitical Tensions
- Market Decline: On Wednesday, the S&P 500 Index fell by 1.62%, the Dow Jones Industrial Average dropped by 1.87%, and the Nasdaq 100 Index decreased by 1.98%, indicating a significant market reaction to rising geopolitical tensions that undermined investor confidence.
- Oil Price Surge: Crude oil prices rose over 2% due to escalating tensions in the Middle East, which not only exacerbated losses in stocks and bonds but also pressured airline and trucking companies, highlighting the profound impact of energy price fluctuations on the overall market.
- Stable Inflation Data: The US May Consumer Price Index rose 4.2% year-over-year, in line with expectations, while core CPI increased by 2.9%, alleviating some inflation concerns, although rising oil prices may reignite scrutiny over inflationary pressures.
- Tech Stock Retreat: Chipmakers and AI infrastructure stocks experienced significant declines, with Nvidia and Tesla both dropping over 3%, reflecting a waning confidence in tech stocks that could influence future investment strategies.
See More
Iren Secures Long-Term Deal with Nvidia for Data Center Capacity
- Long-Term Agreement: Iren has signed a five-year $3.4 billion deal with Nvidia covering 60 megawatts of computing capacity, which could yield $11.33 million per megawatt annually, showcasing its strong market potential in the AI sector.
- Infrastructure Expansion: The new Australian data center boosts Iren's total pipeline to 5.8 gigawatts, alongside a 1.6 GW site in Oklahoma and a 490 MW acquisition in Europe, demonstrating the company's ability to double its pipeline capacity in just six months, enhancing its competitive edge.
- Revenue Potential Increase: Assuming the $11.33 million per megawatt rate holds across the 5.8 GW portfolio, Iren could see annual recurring revenue soar to $65.7 billion, significantly enhancing its earnings potential as more data centers come online.
- Financing and Construction Challenges: While Iren has secured competitive financing with $3 billion in convertible notes and $3.65 billion in GPU financing, converting this power into profitable data centers will require substantial investment, presenting significant construction and operational challenges.
See More
OpenAI Plans 10-Gigawatt Data Center in Ohio
- Data Center Development: OpenAI is in discussions with SB Energy to lease a proposed 10-gigawatt data center on federal land in Ohio, with an estimated construction cost of at least $500 billion, reflecting strong demand for high-performance computing.
- Long-Term Lease Agreement: Under a 20-year lease, OpenAI will control the facility's equipment, with payments commencing once operations begin, expected in 2028, indicating the company's strategic positioning for future computing capabilities.
- Nvidia's Support: Nvidia is expected to supply hardware for the facility and provide financial guarantees for OpenAI's lease and SB Energy's financing, which not only enhances OpenAI's financial security but may also expedite the project's progress.
- Industry Impact: This data center will be among the largest of its kind, marking OpenAI's further expansion in the AI sector while potentially driving investments and developments in high-performance computing infrastructure across the industry.
See More
SpaceX Aims for 2027 Demonstration of Orbital AI Computing Infrastructure
- Orbital Compute Initiative: SpaceX aims to launch initial demonstrations of its orbital AI computing infrastructure by late 2027, ahead of the 2028 timeline disclosed in its IPO filing, showcasing the company's confidence in future technology and market potential.
- Investor Presentation Highlights: During investor meetings, SpaceX executives emphasized their unique advantage in commercializing orbital AI compute, claiming to be the only company with a viable path, which is likely to attract more investor interest in their $75 billion IPO fundraising plan.
- Satellite Launch Permission Request: SpaceX has requested permission from regulators to launch up to 1 million space-based data-center satellites, indicating its ambitious plans in the orbital computing sector, which, if successful, would significantly enhance its market competitiveness.
- Technical Challenges and Confidence: Despite delays in Starship rocket development, CEO Elon Musk stated that building orbital AI data centers is not a difficult engineering challenge, as it will leverage existing technology from the Starlink satellite network, thereby boosting investor confidence in the project.
See More
Iren Positions Itself as AI Data Center Leader
- Major Partnership Agreement: Iren signed a five-year, $3.4 billion deal with Nvidia covering 60 megawatts of computing capacity, which not only enhances Iren's position in the cloud infrastructure market but also provides favorable conditions for assessing its newly announced 800 MW data center in Australia.
- Infrastructure Expansion: Iren's infrastructure pipeline has increased to 5.8 gigawatts, doubling from 2.9 gigawatts at the beginning of the year, demonstrating the company's rapid expansion in global markets, particularly in enhancing its market share in Europe and Australia.
- Revenue Potential Increase: Based on the agreement with Nvidia, Iren anticipates generating $65.7 billion in annual recurring revenue, a figure that will significantly boost the company's profitability, especially against the backdrop of surging AI computing demand.
- Enhanced Financing Capability: Iren successfully completed a $3 billion convertible note offering and $3.65 billion in GPU financing, indicating strong confidence from financial institutions in its ability to convert energy into scalable revenue, with further large deals expected to solidify its market position.
See More
Corning's Optical Fiber Business Poised for Explosive Growth
- Surging Fiber Demand: Corning's stock has soared by 230% over the past year, primarily driven by the high demand for its fiber-optic cables, which accelerate processing speeds in AI workloads, highlighting the company's strategic significance in the AI era.
- Major Partnership Agreement: Amazon announced a multiyear deal with Corning, estimated at around $6 billion, joining Meta and Nvidia, which will fuel explosive growth in Corning's revenue and earnings, further solidifying its market position.
- New Product Launch: Corning's newly launched Multicore Fiber (MCF) increases fiber density fourfold, allowing data center operators to achieve the same performance with 75% fewer cables, potentially triggering significant changes in the AI era.
- Profitability Enhancement: Corning's optical communications segment generated $1.8 billion in revenue during Q1 2026, a 36% year-over-year increase, with net income reaching $387 million, up 93%, demonstrating the company's pricing power and profit potential in a high-demand environment.
See More
US Stocks Plunge Amid Rising Geopolitical Tensions
- Market Decline: On Wednesday, the S&P 500 Index fell by 1.62%, the Dow Jones Industrial Average dropped by 1.87%, and the Nasdaq 100 Index decreased by 1.98%, indicating a significant market reaction to rising geopolitical tensions that undermined investor confidence.
- Oil Price Surge: Crude oil prices rose over 2% due to escalating tensions in the Middle East, which not only exacerbated losses in stocks and bonds but also pressured airline and trucking companies, highlighting the profound impact of energy price fluctuations on the overall market.
- Stable Inflation Data: The US May Consumer Price Index rose 4.2% year-over-year, in line with expectations, while core CPI increased by 2.9%, alleviating some inflation concerns, although rising oil prices may reignite scrutiny over inflationary pressures.
- Tech Stock Retreat: Chipmakers and AI infrastructure stocks experienced significant declines, with Nvidia and Tesla both dropping over 3%, reflecting a waning confidence in tech stocks that could influence future investment strategies.
See More
Iren Secures Long-Term Deal with Nvidia for Data Center Capacity
- Long-Term Agreement: Iren has signed a five-year $3.4 billion deal with Nvidia covering 60 megawatts of computing capacity, which could yield $11.33 million per megawatt annually, showcasing its strong market potential in the AI sector.
- Infrastructure Expansion: The new Australian data center boosts Iren's total pipeline to 5.8 gigawatts, alongside a 1.6 GW site in Oklahoma and a 490 MW acquisition in Europe, demonstrating the company's ability to double its pipeline capacity in just six months, enhancing its competitive edge.
- Revenue Potential Increase: Assuming the $11.33 million per megawatt rate holds across the 5.8 GW portfolio, Iren could see annual recurring revenue soar to $65.7 billion, significantly enhancing its earnings potential as more data centers come online.
- Financing and Construction Challenges: While Iren has secured competitive financing with $3 billion in convertible notes and $3.65 billion in GPU financing, converting this power into profitable data centers will require substantial investment, presenting significant construction and operational challenges.
See More
