The overseers of the Dow Jones Industrial Average might regret adding Nvidia to the index. Since it joined the Dow industrials on Nov. 7, Nvidia stock is down nearly 30%.
Monday was another rough session for the artificial intelligence chip company. Shares gapped down and tested the lows from March 11 and last September. Nvidia stock is on track for its worst month since September 2022, when it lost nearly 20%, according to Dow Jones Market Data.
Down more than 21% year-to-date, Nvidia has gone from stock market darling to a woeful Relative Strength Rating of 33. Its chart has a bearish mark as its 50-day moving average has crossed below the 200-day average. Chart readers call that a "death cross," similar to one that appeared three years ago and began a six-month downturn in the stock.
A combination of technology-export restrictions, competition from China, gloom over the Magnificent Seven and other factors have weighed on Nvidia since the stock peaked at 153.13 on Jan. 7. A failed breakout from a late-stage base ended a phenomenal run that sent shares up more than 700% from an initial breakout in January 2023.
By Monday afternoon, Nvidia was responsible for 173.38 points of the total 960.32 points subtracted from the Dow this year through Friday's close, according to Dow Jones Market Data. The index ended that day down 2.26% for the year.
Other Techs Hit Dow Jones Index
Other technology stocks are among the worst performing Dow components this year. Salesforce is down about 20%, Apple and Microsoft have lost about 12% each.
IBM is the only Dow tech component up this year. It's climbed about 11.5% and is the only Dow tech stock above its 200-day line. Wedbush analysts on March 24 put IBM on their "best ideas" list, citing the company's ability to benefit from growing AI spending.
Sherwin-Williams, the other stock that joined the Dow Jones index in November, has subsequently dropped about 10%. Year to date, it's nearly flat and trading below its 50-day and 200-day moving averages.
Dow Jones Leaders Bottomed In January
The best-performing Dow stocks all bottomed in January or late December and are riding their rebounds to double-digit gains so far this year.
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A three-month rally has left Amgen up nearly 20% in 2025. The biotech began selling off in November, when its weight-loss shot, MariTide, was said to cause excessive bone mineral density loss.
Amgen bottomed at 253.30 on Dec. 19 and climbed to a September high on March 10, though it's pulled back since then. Even negative news on another obesity treatment in early February did not derail Amgen's comeback.
Four other Dow Jones stocks have double-digit gains so far this year.
Johnson & Johnson is also sitting on a three-month bounce, up more nearly 15% year to date, after rallying as much as 20.8% from its Jan. 10 low. The stock is now forming a handle with a buy point at 169.99. Shares were under some pressure early Tuesday after a Texas judge denied the company's bankruptcy settlement plan for its Red River Talc subsidiary.
Chevron has been shadowing the Energy Select Sector SPDR ETF, which is up about 9% this year. But Chevron is outperforming the sector with a gain of 15.7%.
As Nvidia Lags, Consumer Stocks Rise
In consumer stocks, Coca-Cola has rallied 15% this year. The stock is a classic defensive play, with proven brands such as Minute Maid, Powerade and coffee and tea brands besides is namesake soda. Coke is in the Dividend Aristocrats, an index of companies that have paid and raised their dividends for at least 25 consecutive years.
Shares of Coca-Cola are forming a cup-with-handle base with a 73.22 buy point.
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Verizon Communications, another defensive name, is near the 44.73 buy point of a double-bottom base. Shares are up 13% year to date. The company returned to profit growth with an increase of 2% in Q4 earnings per share, which beat views.
3M is up more than 13% for the first three months of 2025. The industrial products maker — which spun off its health care division a year ago — raised its dividend in February.
