Nvidia Shares Fall 8.6% After Hours Following Baird Downgrade

Nvidia shares were down 8.63% in after-hours trading by 8 p.m. ET Nov. 11, the day Baird cut its rating and flagged possible U.S. restrictions on H200 exports.

The shares stood at $158.74, compared with a regular-session close of $173.73. Nvidia had gained 2.87% during regular trading. Baird lowered its rating from Outperform to Neutral and cut its price target to $200 from $500. The new target remained above Nvidia’s Nov. 10 closing price of $168.89.

Baird analyst Tristan Gerra flagged the risk of a U.S. ban on H200 exports to China. He warned that blocked shipments could leave Nvidia facing an inventory write-down of about $5 billion. Gerra also raised the risk that U.S. limits on Southeast Asian data center operators could disrupt regional sales channels.

Five former Nvidia employees alleged that CEO Jensen Huang had an extramarital relationship with Kimberly Powell, an Nvidia vice president who reports directly to him. Nvidia declined to comment.

Nvidia is scheduled to release third-quarter results after the market closes Nov. 17, with revenue forecast at $108 billion.