Nvidia Stock Dips. Why a $190 Price Target Couldn’t Lift Shares.

Nvidia CEO Jensen Huang. His company is chasing a record valuation. As of Thursday’s close, it had a market capitalization of $3.89 trillion (I-HWA CHENG/AFP via Getty Images)

Nvidia stock was falling as anxiety about U.S. tariffs appeared to trump a price target hike.

Shares of the chip maker slid 0.6% to $158.56 in Monday trading. The S&P 500 was down 1%.

The drop could delay Nvidia from reaching a stock market milestone. As of Thursday’s close, the company had a market capitalization of $3.89 trillion, just shy of the record $3.915 trillion closing market cap reached by Apple in late December.

Other semiconductor stocks also opened lower. Advanced Micro Devices, Intel, and Qualcomm were all down around 2%. .

President Donald Trump’s promise to start setting universal tariffs has put the market on edge, sparking a move away from equities early Monday. Investors have been hoping for more clarity on how the levies could affect the semiconductor sector, with Nvidia CEO Jensen Huang warning in May that the company would take a $15 billion hit to sales because of U.S. curbs on chip exports to China.

The worries about trade appeared to overshadow Citi analyst Atif Malik raising his price target for Nvidia stock to $190 from $180. Malik, who rates shares Buy, cited higher demand from sovereign countries for AI, which he expects to drive the total addressable market for data-center semiconductor AI to more than half a trillion dollars by 2028.

Another factor weighing on chip stocks could be earnings from key partner Hon Hai Precision Industry, which does business as Foxconn. The Taiwanese company reported record second-quarter revenue on Saturday, but it also flagged macroeconomic and geopolitical conditions and exchange-rate fluctuations as potential headwinds. Its Taipei-listed shares closed a touch lower on Monday.

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