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Nvidia’s stock has fallen due to AI bubble fears. Why analysts believe concerns are overblown.
Shares of Nvidia have wobbled recently amid chatter of an artificial-intelligence bubble. To some research analysts on Wall Street, it’s looking like a buying opportunity.
Nvidia (NVDA) investors already know that surging demand for artificial intelligence (AI) hardware has turned the chipmaker into one of the most powerful forces in the market. But over the weekend, CEO Jensen Huang signaled something even more significant: the AI boom isn’t slowing down—it’s accelerating.
Nvidia denied reports of a $1 billion investment in Mexico after Nuevo León's governor falsely claimed the company would build an AI data center, later clarifying the project involves a local firm using Nvidia's technology instead.
The company trained the model using a custom AI cluster. The cluster is powered partly by Ray, an open-source tool for training and running Python-based AI workloads. The technology was co-developed by Cursor co-founder Philipp Moritz a few years before the company launched.
Artificial intelligence (AI) is expected to add $40 trillion in operating efficiencies to the global economy over the long term, according to research from Morgan Stanley. One of the best stocks to profit from this incredible opportunity is Taiwan Semiconductor Manufacturing Co. (NYSE: TSM), which is making the chips powering this tech revolution.
Looking at the anticipated print, Wall Street analysts believe that Nvidia will post adjusted earnings per share of $1.22 on revenue of $54.74 billion. In the year-ago quarter, the tech giant reported EPS of 81 cents on sales of $35.
Questions have been rising about whether such AI superstar stocks can add more to their already spectacular gains.
Michael Burry's short of the U.S housing market is depicted in the 2015 film, The Big Short, along with the 2010 novel written by Michael Lewis, The Big Short: Inside the Doomsday Machine. This is how Burry came to be known as Wall Street's "Big Short" investor.
A US $1 billion data center in Nuevo León is to be built by Mexico's Cipre Holding, not Nvidia, as Gov. Samuel García mistakenly announced.