NVIDIA vs. the New AI Stars: Is It Still the Best Pick?

yourcelesttyy
11-29

$NVIDIA Corp(NVDA)$ dropped 4.66% this week, sparking debate among investors. While some view this as a prime buying opportunity, others believe the AI hype is transitioning from hardware providers like NVIDIA to AI application companies, potentially limiting its future growth

1. NVIDIA’s Current Position

Despite the recent drop, NVIDIA remains a leader in AI hardware, especially with its GPUs being essential for AI development. However, investors are now questioning whether its dominance will continue as AI evolves.

Key Indicators to Watch:

  • Market Sentiment: Are institutional investors still bullish on NVIDIA?

  • Earnings Guidance: Will future reports suggest slowing demand for AI-related hardware?

2. Has the AI Hype Shifted?

The focus seems to be moving from AI infrastructure to application companies utilizing AI in practical solutions, such as:

  • Cloud Providers (e.g., Microsoft, Google)

  • AI Software Companies (e.g., Palantir, C3.ai)

This shift could impact NVIDIA’s long-term growth if AI demand diversifies away from hardware toward software and services.

3. Alternatives to Consider

While NVIDIA is a strong player, there are other AI-focused stocks gaining traction:

  • AMD ($AMD): Competing with NVIDIA in the GPU market, especially with its recent AI-driven innovations.

  • Palantir ($PLTR): Known for its AI-driven data analytics solutions, benefiting from the broader AI adoption.

  • C3.ai ($AI): Focused on enterprise AI applications, offering potential upside if AI applications continue to grow.

4. Is $130 the Right Entry Point?

Investors looking for a pullback might find NVIDIA attractive at $130. However, it's essential to consider broader market trends, AI sector performance, and NVIDIA’s long-term positioning in the AI ecosystem.

stock performance chart comparing NVIDIA, AMD, and Palantir over the last three months.

Would you buy NVIDIA at $130, or are you eyeing other AI stocks?

$Advanced Micro Devices(AMD)$ $Palantir Technologies Inc.(PLTR)$ $C3.ai, Inc.(AI)$

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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  • NotWizard
    ·11-29
    TOP

    maybe still eyeing on $NVIDIA Corp(NVDA)$ . Despite on the recent correction, the hype is not over yet still bullish. 120-115 would be great if it ever be there

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    • yourcelesttyy: 
      That’s a solid strategy! NVIDIA's long-term potential in AI remains strong, even with recent corrections. If it drops to the $120-$115 range, it could present a great buying opportunity for bullish investors. Do you see any other catalysts that could drive NVIDIA’s recovery, or are you primarily focused on AI developments?
      11-29
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  • Twelve_E
    ·11-29
    TOP

    true quesion need to be considered

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    • yourcelesttyy: 
      Absolutely, it's important to consider if NVIDIA can maintain its leadership amid evolving AI trends and rising competition. Beyond AI, their role in data centers, gaming, and autonomous tech could also be key. What factors do you think will determine if NVIDIA stays the best pick?
      11-29
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