Nvidia Stock Is Struggling in 2026, and This Magnificent Seven Stock Can Make Things Worse for the Artificial Intelligence (AI) Giant. Should Investors Hit the Sell Button?

The article argues that Nvidia’s 2026 stock underperformance is more about investor sentiment than fundamentals. While Nvidia has gained only 7% this year versus a 58% rise in the semiconductor sector, the piece says its growth outlook remains strong. The main risk highlighted is Meta Platforms accelerating its in-house AI chip program, with reported production beginning in September and plans for four generations of custom processors. That could reduce Meta’s dependence on Nvidia GPUs and pressure demand at the margin. However, the article concludes the threat is not enough to derail Nvidia’s long-term thesis: Nvidia still dominates AI inference chips, with its share cited at 74% in Q1, and its inference revenue is said to exceed rivals Broadcom and AMD combined. It also notes Nvidia trades at 23x forward earnings versus 21.5x for the S&P 500, implying room for upside if earnings continue to compound. Overall message: short-term competitive pressure, but a still-bullish long-term view on Nvidia.