Nvidia gets first sell rating in nearly two years; shares down

** Shares of chipmaker Nvidia NVDA.O down 1.9% to $106.91 on Weds amid rare bearish call

** Seaport Research Partners initiated coverage on NVDA with a 'sell' and $100 PT

** While one of the leading beneficiaries of current AI spending boom, NVDA's "prospects are well understood and largely priced into the stock," Seaport analyst Jay Goldberg wrote in note

** This marks the first "sell" rating on NVDA since Aug 2023 and lowest PT on the Street, according to the latest LSEG data

** Among downside risks to the stock, Goldberg said Seaport's research shows "significant complexity required" for deployment of NVDA's systems, including cooling, configuration and "orchestration challenges throughout the supply chain"

** He also cited "mounting questions" as to AI's utility, as customers seek ways to generate returns on their significant AI investments, and pointed to NVDA's biggest customers aiming to design their own chips

** Goldberg believes AI budgets likely to slow in 2026, adding that "AI is probably not a 'bubble', but it may take many years before true utility becomes apparent"

** He also started coverage of struggling Intel INTC.O with a 'sell', which he said is "fighting to survive" as it loses share in PC market to rival chipmaker Advanced Micro Devices AMD.O

** NVDA shares under pressure on Weds after AI server maker Super Micro SMCI.O slashed its rev forecast due to delayed customer purchases

** With move on the session, NVDA shares down 20% YTD