The NVIDIA stock price fell by -0.494% (Tuesday, 27th Feb 2024) from $790.92 to $787.01 so at the volume it is falling it won’t reach $850 by end of week trading.
There is one chip stock that looks like a good overall value: Taiwan Semi - Manufacturing - (TSM) in the highly specialized chip industry isn't like a bottling plant, With a constant need to manufacture chips with smaller processors, adding complexity and precision to a constantly evolving industry. Taiwan Semi began producing 3-nanometer chips in late 2022, and will start producing 2-nanometer chips in 2025. Just that small reduction in size requires new investment in complex equipment.
Taiwan Semi benefits from growth across multiple players and industries. Taiwan Semi's big advantage is that it generates incredibly high margins and growing revenue and earnings despite its high costs.
Several short-term signals, along with a general good trend, are positive and I would consider TSM a buy.
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