AI stocks just crashed 40-60% — nobody told the people actually renting GPUs

Nvidia's trading at its cheapest valuation in a decade. Meanwhile the price of renting a GPU by the hour nearly doubled. Both are true at once.

Aliteq
Ravi Malhotra · Hardware Editor

The numbers that don't agree with each other

The AI sector fell 40-60% from its highs in July 2026; the Philadelphia Semiconductor Index dropped 20% from its June peak after rallying about 130% over the prior year.

The numbers that don't agree with each other

Nvidia's forward P/E hit roughly 21.7x, its lowest in a decade — now priced in line with the average S&P 500 stock instead of at a premium.

The numbers that don't agree with each other

Spot GPU rental prices rose from around $2 per GPU-hour to just under $4 over seven months, a near-doubling while stock prices fell.

The numbers that don't agree with each other

Combined operating cash flow at Microsoft, Meta and Amazon grew from 28% to 32% year-over-year (35% excluding one-time items) — acceleration, not slowdown.

The numbers that don't agree with each other

Investor Jordi Visser points to a $1.7 trillion combined cloud backlog at Amazon, Google and Microsoft as evidence the AI trade isn't over, just repriced.

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AI stocks just crashed 40-60% — nobody told the people actually renting GPUs

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