NVIDIA Corporation NVDA shares traded lower during Wednesday's after-hours session following a post-market downgrade from Nomura.
About an hour into the after-hours session, NVIDIA shares traded down nearly 2 percent to $108.82.
Nomura analyst Romit Shah lowered his recommendation on the stock from Buy to Reduce, a multi-notch downgrade. The analyst reduced his price target on NVIDIA shares from $100 to $90.
From where the stock is trading during Wednesday's after-hours session, Shah's new price target represented potential downside of about 17 percent.
Update: Click here for a full recap of Shah's downgrade.
Shah highlighted a concern with an integral part of NVIDIA's business: gaming. The analyst noted a belief the sell-side consensus has underappreciated the slowdown in video gaming.
Related Link: The Consensus On NVIDIA Is Still Pretty Positive
NVIDIA was one of the top performers in 2016, rising more than 200 percent.
NVIDIA shares have fallen about 5 percent since the company reported fourth-quarter results on February 9. Over the same time frame, the SPDR S&P 500 ETF Trust SPY is up about 3 percent.
Today's news was first highlighted on Benzinga's Pro platform, a real-time solution for getting up-to-date breaking news.
To see all the recent recommendation changes on shares of NVIDIA, check out Benzinga.com's Analyst Ratings page for NVIDIA.
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