Nvidia shares finished Friday at $214.75, marking six consecutive declines and the company’s longest losing streak in four years. The stock last closed higher on August 13 at $225.30. The cumulative decline remains relatively contained, with four of the six sessions posting losses of less than 1% and a single session on August 18 accounting for a 2.34% drop.

By comparison, a seven-session slide ending in early September 2022 produced a far steeper 24% decline. The current move stands out mainly for its duration rather than its magnitude.

Financing Arrangements Draw Scrutiny

Selling pressure intensified after Nvidia disclosed on August 10 a set of financing platforms developed with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR. The initiative aims to mobilize more than $500 billion in third-party capital to support AI infrastructure purchases by customers.

Concerns have centered on the structure of these arrangements. Nvidia is assisting customers in securing funds that are then used to buy Nvidia computing systems, a dynamic some market participants have described as circular financing. Additional attention followed a securities filing showing Nvidia had guaranteed up to $105 billion in lease obligations linked to an OpenAI data center campus in Ohio.

The company has also expanded its role beyond chip supply. On Friday it disclosed a minority investment in Cloverleaf Infrastructure, a firm that acquires land, secures grid power and prepares sites for data center construction. Cloverleaf has sold more than 7 gigawatts of powered projects and maintains a pipeline exceeding 10 gigawatts, including sites associated with major technology customers.

Power availability has emerged as a binding constraint on AI expansion, prompting Nvidia to secure foundational resources years ahead of chip deployment.

Earnings Expectations and Analyst Views

Nvidia is scheduled to report fiscal second-quarter results on August 26 after the market close. The quarter covers the period through July. Analysts anticipate earnings of $2.01 per share, more than double the $0.99 recorded a year earlier. Revenue is projected near $91 billion, up from $81.6 billion in the prior quarter.

The company has exceeded estimates in each of the past four quarters. Despite those beats, the shares have declined the following day on average by 2.79% and by 5.31% over the subsequent two sessions.

Wall Street remains uniformly positive. All 26 analysts covering the stock rate it a buy, with an average price target of $301.82, roughly 40% above Friday’s close. Bank of America continues to carry a $350 target.

Over the past year Nvidia shares have advanced 19.7%, trailing the broader technology sector’s 37.1% gain. The gap has left some investors questioning whether the stock has fully captured the strength of the AI spending cycle it helped enable.

Market Focus Shifts to Sustainability

Traders heading into the earnings release are weighing robust demand for Nvidia’s latest platforms against questions about the financial structures supporting that demand. The company’s recent moves into customer financing and physical infrastructure indicate an effort to address bottlenecks beyond silicon supply.

Whether the forthcoming results can reverse the six-day decline will depend in part on how clearly management addresses the durability of current growth rates and the risks associated with its expanding role in financing and site development.