Nvidia (NASDAQ: NVDA) sectors are now lagging behind significantly semiconductor field at the highest level in more than two years, although there is more speculation.
In fact, as of May 7, Nvidia’s ratio compared to the PHLX Semiconductor Sector Index (SOX) is at the same level as that seen in May 2024, according to data Finbold was taken from Barchart.
These statistics show the impact of artificial intelligence (AI) boom was on Nvidia stock, which gained about 171% in 2024.
By comparison, these shares are currently up 10% year-over-year in 2026, while SOX has shot up more than 55% over the same period.
Microsoft is threatening to overtake Nvidia as the most valuable company
More pressure on Nvidia now comes from Letters (NASDAQ: GOOGLE), which is closing in on Jensen Huang’s company in the race to become the most valuable company in the world.
Compared to Nvidia, Google’s parent company had explosive pressure this year, up about 45% since hitting the 2026 bottom at the end of March.
As a result, it is approaching the market’s top spot for the first time in more than a decade, having last held the position in 2016 before losing. apple (NASDAQ: Image of AAPL).
The change in news reflects a major shift in Wall Street’s thinking, with brands emerging not only as leaders of the AI platform through Google Cloud, but also as a challenger to Nvidia in AI hardware.
Goldman Sachs remains bullish on Nvidia
Despite this, analysts seem to be optimistic about Nvidia. Notably, Goldman Sachs reaffirmed its ‘Buy’ rating with a price target of $250 before press time.
The bank did well ahead of the company’s upcoming results, saying that investors will focus on the development of Nvidia’s $1 trillion data opportunity described at GTC.
However, the company said that expectations are still high and that the barrier to the stock’s performance is that it is too difficult to turn a profit. In the end, Goldman Sachs argues that the underperformance compared to its peers discussed above is a sign of a buying opportunity.
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