NVIDIA (NVDA): Can AI Demand Sustain Growth Through Leadership Uncertainty? Faheem Tahir Sat, November 14, 2026 at 2:24 PM EST 3 min read NVDA -3.12% ^IXIC -0.91% NVIDIA Trade NVIDIA on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
We just published the list of the 10 AI Infrastructure Stocks to Watch After CoreWeave's Earnings and NVIDIA Corporation (NASDAQ:NVDA) ranked 10th on this list.
AI infrastructure stocks have faced considerable selling pressure in recent weeks, as concerns over data center expansion, rising borrowing costs, and regulatory uncertainty have weighed on investor sentiment. According to Bloomberg, hedge funds sold global technology shares during the week ending November 6 at a pace approaching the highest recorded in Goldman Sachs' data since 2016.
Much of the uncertainty stems from the U.S. midterm elections, which raised concerns about potential restrictions on data center construction. Reuters reported on November 5 that the Nasdaq Composite plunged 5.5%, while UBS analysts estimated that nearly 30% of anticipated U.S. data center capacity additions in 2028 could be at risk from potential construction pauses. The selloff also prompted Wall Street to reassess opportunities across the technology sector, as discussed in our recent coverage of 10 Stocks Analysts Just Upgraded.
Against this backdrop, the prominent AI cloud infrastructure provider offered some relief following its latest earnings announcement. On November 11, the company raised its annual revenue forecast and eased financing concerns by indicating that cash flows from existing contracts would cover its debt repayments. The developments also lifted other major AI infrastructure stocks.
However, the recovery proved short-lived as a leadership crisis at a major AI chipmaker introduced fresh uncertainty across the sector. On November 12, shares of the cloud infrastructure provider fell 9.1% after gaining more than 27% in the previous session, while the chipmaker declined 8.2% following its CEO's resignation amid an ongoing scandal.
Beyond these market swings, financing remains a concern. Reuters reported on November 12 that approximately 70% of record U.S. convertible bond issuance in 2026 was AI-linked, highlighting the industry's reliance on capital markets. Meanwhile, the selloff has renewed scrutiny of elevated technology valuations, a concern explored in our recent analysis of 10 High P/E Stocks Under the 200-Day SMA.
NVIDIA Corporation (NASDAQ:NVDA) makes our list with 72.70% analyst upside, as CoreWeave's expansion drives demand for its GPUs, networking, and AI systems. Shares gained 2.92% on November 11 as CoreWeave's results helped restore confidence in AI infrastructure spending.
NVIDIA Corporation has a direct commercial connection: CoreWeave is deploying its Vera Rubin platform. Fiscal second-quarter data-center revenue increased 117% to $89 billion, while total revenue reached $96.2 billion. However, rising memory costs are pressuring margins, showing how strong demand can benefit component suppliers while squeezing system providers.
At approximately 18.6 times estimated fiscal 2027 adjusted earnings, NVIDIA Corporation offers substantial growth at a lower multiple than its recent history. That discount also reflects risks beyond chip demand. Our coverage of why analysts have become more cautious about NVIDIA's financing commitments examines its exposure to companies building infrastructure around its products.
NVIDIA Corporation announced on November 12 that Jensen Huang had resigned and CFO Colette Kress would serve as interim CEO. This introduces leadership uncertainty immediately after the sector's rally. On the same day, before the leadership announcement, RBC retained an Outperform rating that day but reduced its target to $230 from $330, arguing that near-term fundamentals remained supported by demand and an established product roadmap. The investment case depends on maintaining execution through the transition while ensuring customer financing produces sustainable demand.
While we acknowledge the risk and potential of NVDA as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years
Disclosure: None. Follow Insider Monkey on Google News.
