Nvidia (NASDAQ:NVDA) is facing increased market uncertainty as shares dip following Super Micro Computer's (NASDAQ:SMCI) recent auditor resignation. SMCI, a key Nvidia partner, announced the abrupt departure of its auditor, raising transparency concerns. Nvidia relies heavily on SMCI for critical hardware components powering its AI and data center products, creating investor wariness about potential supply chain risks. Although Nvidia isn't directly implicated, SMCI's instability has shifted sentiment to a risk-off environment, especially as AI demand continues to surge.

Adding to Nvidia's sentiment challenges, Microsoft's (NASDAQ:MSFT) recent earnings, while strong, contributed to a broader tech sell-off. Microsoft's cautious comments on cloud revenue growth and slower-than-expected profitability from AI investments have pressured valuations across the tech sector, impacting Nvidia as well.

Finally, the upcoming U.S. election introduces further uncertainty, as investors weigh contrasting economic approaches from each candidate. Together, SMCI's auditor resignation, Microsoft's cautious outlook, and looming political uncertainty have combined to push Nvidia's stock lower.

• Warning! GuruFocus has detected 4 Warning Signs with NVDA.

This article first appeared on GuruFocus.