Nvidia Stock Slips. How It Could Notch Another Record.

Nvidia CEO Jensen Huang. The chip maker’s shares hit a record last week as the AI investing craze reignited. (Thibaud MORITZ/AFP via Getty Images)

Nvidia stock was sliding on Monday, although there’s little reason to think the artificial-intelligence chip maker’s recent rally will grind to a halt soon.

Shares slipped 0.2% in early trading. The benchmark S&P 500 was up 0.3%.

Other chip stocks were mixed— Advanced Micro Devices was down 1%, Broadcom gained 1.3%, and Qualcomm was flat.

Nvidia shares notched a five-day winning streak last week, hitting a new high on Wednesday and then building on those gains. In the process, Nvidia surpassed Microsoft to become the world’s largest company by total market capitalization.

There’s little reason to think the stellar run can’t carry on, with investors still bullish that the Trump administration will continue to broker trade deals, which would likely ease concerns about the impact tariffs could have on earnings for Nvidia and other Big Tech companies.

History suggests the stock does well over the quieter summer period, too: Nvidia has risen 7% on average in both July and August over the past decade, according to data from FactSet. It only typically performs better in May, November and February, according to the data.

When the market is in a good place, its go-to AI darling tends to be one of the names that reaps the benefits.

Write to George Glover at george.glover@dowjones.com