We recently released a list 10 Inventory Everyone Said When Talking about Trump's Tone in China. In this article, we will explore the position of NVIDIA Corp (NASDAQ:NVDA), and as opposed to other stocks, everyone is talking about Trump’s soft tone of China.
After experiencing large-scale volatility and losses, investors are desperately looking for signs of the bottom of the market. Warren Pies, the fifth study, said in CNBC's latest plan that based on his technical analysis, we will "get close to" the bottom of the market. The analyst talks about the key metrics he is looking for:
"I do think the White House is trying to expand the situation. One of the marks we're seeing is that Peter Navarro hasn't been on TV since April 13, which corresponds to this equity rally. But, besides the confirmation bottom, one confirmation bottom, one confirmation bottom, there are two components. The vaults for institutions are measured, while trend followers are the people of all these metrics.
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In this article, we selected 10 stock investors to be following. In the case of stock per share, we all mention the number of hedge fund investors. Why are we interested in stocks that hedge funds to accumulate? The reason is simple: Our research shows that we can beat the market by mimicking the top stocks of the best hedge funds. Our strategy for quarterly newsletters selects 14 small and large stocks every quarter, returning 373.4% since May 2014, beating its benchmark by 218 percentage points (See more details here).
Close-up of inserting a colored high-end graphic card into a gaming computer.
Number of hedge fund investors: 193
In CNBC's Stacy Rasgon said in its latest plan, demand for NVIDIA Corp (NASDAQ:NVDA) remains strong despite industry concerns: demand from the company:
"I mean, it's a big problem. What I'm going to say now is that at least the demand environment still looks very, very strong. Just go to NVIDIA, like I think they'll sell everything they can go out this year. That way, it's just a problem, it's a problem, how much they know, you know, what kind of businesses I can only pay for at this point, like a business like that, it's like a friendly environment, it's like a friendly environment. The expenses now, their capital expenditure forecasts and demand and everything, they go up instead of falling."
The market will continue to punish NVIDIA because they do not meet their huge (sometimes unrealistic) growth expectations. About 50% of the company's revenue comes from large cloud providers, which rethinks their plans as DeepSeek releases and looks for low-cost chips. NVIDIA's first-quarter guidance showed QOQ revenues rose 9.4%, down from the top 12% QOQ growth. Its adjusted profit margin is expected to drop significantly to 71%. The market didn't like it when Nvidia failed to release a strong quarterly season. The stock will remain stressed over the next few quarters, when the company will report impressive growth.
Nvidia faces challenges on multiple levels. Competition is one of them. Major competitors such as Apple, Qualcomm and AMD are competing for TSMC's 3NM capacity, which could limit Nvidia's access to these chips. Why? Because NVIDIA also uses TSMC's 3NM process node. Nvidia also faces direct competition from other giants who decide to make their own chips. Amazon and its Trainium2 AI chips offer alternatives. The Trainium2 chip provides cost savings and excellent computing power, which could shift AI’s workloads from NVIDIA’s products. Apple is reportedly working with Broadcom to develop AI server processors. Intel is also working to re-enter the game using the Jaguar Shores GPU, which will be produced on its 18A or 14A nodes.
Harding Loevner Global Reverment Markets Equity Stratege pointed out the following about NVIDIA Corporation (NASDAQ:NVDA) in its Q4 2024 investor letter:
“For a full year, the composite’s poor performance was mainly due to poor inventory selection in the United States. Nvidia Corporation (NASDAQ: NVDA), which we sold in the first quarter and bought back in the fourth quarter, causing nearly two-thirds of the strategy's underperformance. As NVIDIA's share price soared in the first half of the year, we were hurt by the demand for the company's graphics processing units (GPUs), which enabled generative computing to be generated.
Overall, NVDA Ranked fourth On our list of the best mid-cap growth stocks. Although we acknowledge the potential of NVDA, our belief lies in the belief that under Radar AI stock, it is expected to provide higher returns and do so in a shorter time frame. If you are looking for AI stocks that are more promising than NVDA but have less than 5 times its earnings, check out our report Cheapest AI stocks.
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Disclosure: None. This article was originally published in Internal monkey.