Nvidia (NVDA) Losing Streak Hits Six Sessions, Longest Since 2022

Nvidia (NVDA) shares closed lower for a sixth consecutive session on Friday, its longest losing streak since 2022, as the stock shed 4.7% to settle at $214.75 from $225.30 on August 13. The decline has been gradual rather than sharp: four of the six sessions lost less than 1%, while a single day on August 18 accounted for half the damage with a 2.34% drop. The slide began after August 10, when Nvidia announced financing platforms with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR, with a plan to raise more than $500 billion from outside investors to help customers buy Nvidia computing power. Critics call this circular financing, and a subsequent securities filing revealed Nvidia guaranteed up to $105 billion in lease obligations tied to an OpenAI campus in Ohio. The pressure persists as Nvidia prepares to report fiscal Q2 earnings on August 26 after the closing bell. Wall Street consensus expects earnings per share of $2.01, up 103% from $0.99 a year earlier, and revenue near $91 billion, up from $81.6 billion last quarter. Nvidia has beaten estimates for four straight quarters, but has also fallen the day after each of those reports, averaging a 2.79% drop the next session and 5.31% over two days. Analysts remain overwhelmingly bullish; all 26 tracked by TipRanks rate the stock a buy, with an average target of $301.82, about 40% above Friday’s close. The 2022 comparison underscores the difference: that seven-day slide erased 24% and hit the lowest level since March 2021, while the current move is far shallower. Still, the stock’s one-year gain of 19.7% trails the technology sector’s 37.1%, highlighting a disconnect. While this is not yet a full bear market, the persistent downward pressure has put the earnings print in the spotlight.

On the same day, Nvidia disclosed a minority investment in Cloverleaf Infrastructure, a company that buys land, secures grid power, and sells prepared data-center sites – a move that signals Nvidia’s focus on power, not just chips. Founded in 2024, Cloverleaf has sold more than 7 gigawatts of powered projects, including Wisconsin sites tied to Oracle and OpenAI, with a pipeline exceeding 10 gigawatts. Nico Caprez, Nvidia’s vice president of global AI infrastructure growth, stated in the company’s official press release that “AI factories are the infrastructure of the intelligence age, and land, power and shell are their foundation.” This investment is part of Nvidia’s broader strategy to address the physical constraints of AI growth. Electricity has become the hard limit, and Nvidia is paying for power years before its chips arrive. The move also dovetails with the financing initiatives, as Nvidia helps customers secure capital and now ensures the power infrastructure is ready. By investing in Cloverleaf, Nvidia is essentially treating data-center power as an extension of its product. This approach mirrors the way AI crypto wallets integrate multiple services to streamline user operations, though the scale here is vastly larger. The strategic partnership, as described in the official announcement, is designed to accelerate data-center infrastructure development, with Cloverleaf’s existing 7 GW of sales and 10 GW pipeline providing a ready base. The company’s ability to secure land and power is key, as traditional data-center development often faces years of delays for grid connections. Nvidia’s investment addresses that bottleneck directly, positioning the firm to control more of the AI supply chain.

Both moves – the financing platforms and the power-infrastructure investment – highlight Nvidia’s strategy to control the entire AI computing stack, from capital to electricity. The official press release for the Cloverleaf partnership confirms the investment, while the SEC filings detail the lease guarantees, providing primary-source confirmation. The looming question is whether Wall Street will reward this capital-intensive approach. With earnings due Wednesday, the market will judge if Nvidia’s expansion into financing and power is a sound investment or an overreach. The recent losing streak suggests skepticism, but the analyst community sees value. Our analysis, grounded in the company’s disclosures, indicates that Nvidia is betting on a future where AI demand justifies these upfront costs. The next few sessions will reveal whether the market agrees.