Nvidia Stock Drops 10% Before Nov. 17 Earnings: Buy or Wait?

Nvidia's stock fell nearly 10% in a single day following the election, dropping its market value to $4.31 trillion, just one week before its Nov. 17 earnings report. The decline stems from Democratic election wins that could slow AI development, threatening Nvidia's dominant position with up to 95% of the data center GPU market. Wall Street expects 91% revenue growth this year, with management guiding for 70% growth next year. Nvidia trades at 11 times next year's expected earnings, a low valuation suggesting market skepticism. Investors should watch gross margins, pressured by rising memory chip costs, and guidance more than results, which typically beat expectations.