Nasdaq-100 Index Faces Challenges Amid AI Concerns
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 10 2026
0mins
Should l Buy NVDA?
Source: Yahoo Finance
- Market Stagnation: After three consecutive years of significant gains, the Nasdaq-100 index has stagnated in 2026, primarily due to concerns about the negative impact of artificial intelligence on the global economy and valuation levels, which have shifted it from a market leader to a laggard.
- ETF Performance Comparison: From February 27, the last trading day before the Israel-Iran war began, to March 9, the Invesco QQQ ETF, which tracks the Nasdaq-100, outperformed the Vanguard S&P 500 ETF, indicating short-term resilience in tech stocks, though overall market trends remain to be seen.
- Earnings Growth Expectations: The tech sector is projected to deliver the highest earnings and revenue growth among the S&P 500 sectors in 2026, with a slowdown to a 20% growth rate expected in 2027; however, long-term earnings growth remains a key driver of stock performance.
- Valuation Reasonableness: While U.S. stock valuations are above historical averages, the forward P/E ratio for the S&P 500 information technology sector stands at 24.2, down from 31 a year ago, suggesting that if companies meet current expectations, the Nasdaq-100's valuation may not be excessively high.
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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: 207.830
Low
200.00
Averages
264.97
High
352.00
Current: 207.830
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.
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See More
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- Partnership Formation: SoftBank has initiated discussions with Nvidia and Foxconn to leverage Nvidia's GPU certification program and Foxconn's manufacturing capabilities, thereby strengthening its technological prowess and market position in high-performance server development.
- Manufacturing System Establishment: SoftBank aims to build a production base at a former Sharp plant, transitioning from assembling externally sourced components to eventually controlling the entire server production process, which will help improve production efficiency and reduce costs.
- AI Infrastructure Integration: The new servers will not only be used in SoftBank's data centers but will also support its AI-RAN integrated infrastructure, designed to handle communication and AI processing simultaneously, further advancing its strategic positioning in the AI sector.
See More
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- Financial Underperformance: IREN reported $144.8 million in revenue for Q3, well below Wall Street's estimate of $220.2 million, with a net loss of $247.8 million, highlighting the financial pressures the company faces during its transition.
- Market Sentiment Recovery: Despite poor financial results, retail sentiment on Stocktwits surged into the 'extremely bullish' zone, indicating investor confidence in IREN's future potential in AI infrastructure, particularly in light of its partnership with Nvidia.
- Strategic Expansion Plans: IREN's acquisition of Spain-based Ingenostrum adds 490 megawatts of power capacity, bringing its total power portfolio to 5 gigawatts, further solidifying its position in the cloud computing market, even as it navigates challenges from declining Bitcoin prices.
See More
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- Merger Discussions Heat Up: Cern Basher notes that while many Tesla bulls oppose a merger with SpaceXAI, the accelerating AI race may force Tesla deeper into Musk's tech ecosystem, influencing its future strategy.
- Value of Robotaxi and Optimus: Basher argues that Tesla's Robotaxi and Optimus projects are still in their early stages, with many investors hoping for greater value creation in the coming years, reflecting confidence in Tesla's future growth potential.
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