Nvidia stock falls as new US chip rules threaten business in China

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The Biden administration's new restrictions on AI chip distribution to China could hurt Nvidia's business overseas.

) to China. Nvidia stock fell nearly 5% on the news and slumped more than 2% in early trading on Tuesday.

Citi moved its 12-month price target down to $575 from $630 on the news but maintained a Buy rating on the chipmaker, citing "secular AI growth which remains in early innings."Nvidia's current quarter is set to end on Oct.

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Chip Stocks Shed $73 Billion After US Curbs Nvidia Sales to ChinaSemiconductor stocks slipped on Tuesday after the US announced sweeping updates to export curbs designed to block China’s access to advanced computer chips, changes that will restrict the sale of semiconductors that Nvidia Corp. designed specifically for the Chinese market.
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