The hedge fund Elliot Management has warned investors against putting their money in Nvidia.
In a letter to investors seen by Financial Times, Elliot said the AI was overhyped as it is not cost-effective and its applications are also not likely to work. The Elliot's warning against Nvidia came as chip stocks plunged on Friday with Intel witnessing as much as 27 per cent decline and Nvidia falling by up to 6 per cent in the United States.