To The Moon

Pull-back presents a good opportunity??

The introduction of AI has resulted in huge rally in most semiconductor-related stocks. Notably, $NVIDIA Corp(NVDA)$   was one of the biggest winners gaining ~240+% in a year due to the significant improvement in its quarterly revenue. Nvidia recently announced a new generation of artificial intelligence chips (Blackwell) and software for running artificial intelligence models. The announcement comes as the chipmaker seeks to solidify its position as the go-to supplier for AI companies. Nvidia's high-end server GPUs are essential for training and deploying large AI models. Companies like Microsoft and Meta have spent billions of dollars buying the chips. Nvidia is enticing its customers with more powerful chips to spur new orders, while companies and software makers are still scrambling to get their hands on the current generation of "Hopper" H100s and similar chips.

The AI competition is getting more intense and do they still deserve a premium to their current valuation?? For instance, OpenAI is exploring making its own AI chips and also considering options to diversify its suppliers beyond Nvidia. Furthermore, their close competitors such as $Advanced Micro Devices(AMD)$  and Intel are developing their own AI chips (MI300 AI chips and the Gaudi and Falcon Shores line of AI chips respectively). Another key development is a prototype chip developed by IBM, which is stated to provide AI computational capabilities at significantly lower power consumption requirements.

The AI bubble is slowly forming and the fear of missing out has driven the stock price to an elevated price! It is still better to enter with a safety margin.

In addition, the escalating tensions between US and China is likely to affect the semiconductor industries and export bans may lead to further downside for most semiconductor companies. Is the AI-generated revenue sustainable over the long term? Or is it just a one-off spike? These are important questions investors need to ask themselves.

One should ask yourself if the current valuation is cheap instead of having "fear of missing out". Do be fearful when everyone else is greedy!

$Semiconductor Bull 3X Shares(SOXL)$  $C3.ai, Inc.(AI)$  $Palantir Technologies Inc.(PLTR)$  

What about you?? Let me know your thoughts!!

@Daily_Discussion  @TigerStars  @CaptainTiger  @MillionaireTiger  @TigerEvents