Nvidia +80% YTD 2025: signs of overheating, investor concerns and correction risk

Nvidia shares are up 80% since the beginning of the year, but analysts are increasingly talking about overheating. The market is nervous, funds are locking in profits.

Here's What We Know

Nvidia traders continue to find reasons to buy the stock, but the word "overheating" is getting louder on Wall Street. Although the company's capitalisation reached $4 trillionin July and demand for GPUs for AI isn't dropping, investors are increasingly questioning whether this is still growth or a bubble.

Analysts warn that Nvidia's growth rate is becoming "unsustainable, even for AI champions." Some funds are taking profits, and the stock has begun to ligeramente correct after a local peak at $145. Signs of overheating are also called overvaluation: Nvidia is now worth more than the entire French stock market.

Why it matters

Nvidia remains a key player in the AI boom - and a barometer of the entire sector. Betting on AI continues to drive the Nasdaq, but misalignments and inflated expectations could trigger a wave of selling. In the past, such "overheating" has ended in either a prolonged consolidation or a 20-30% correction.

Source: Bloomberg