Market Volatility in AI Stocks Presents Investment Opportunities
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Should l Buy NVDA?
Source: NASDAQ.COM
- Market Volatility Impact: Since February 1, the S&P 500 and Nasdaq Composite have dropped 3.7% and 4.7%, respectively, reflecting heightened investor sensitivity to geopolitical and monetary policy changes, leading to capital rotation away from AI stocks.
- Nvidia's Market Position: Nvidia commands a 92% share of the AI data center GPU market, and despite competitive pressures, its data center revenue grew 75% year-over-year in Q4, indicating strong profitability and market demand.
- Amazon's Spending Plan: Amazon's capital expenditure budget for 2026 was raised from an expected $150 billion to $200 billion, a 51% increase, resulting in an 8.2% stock price drop; however, its AWS business achieved its best growth in nearly three years in Q4, showcasing long-term potential.
- Meta's Advertising Innovation: Meta's AI-driven advertising tool, Advantage+, has reached an annual revenue run-rate of $60 billion, and despite rising expenditures, its earnings power has nearly tripled, underscoring its leadership position in the advertising market and future growth potential.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy NVDA?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 178.560
Low
200.00
Averages
264.97
High
352.00
Current: 178.560
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is a full-stack computing infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. The Company’s segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing platforms and artificial intelligence (AI) solutions and software; networking; automotive platforms and autonomous and electric vehicle solutions; Jetson for robotics and other embedded platforms, and DGX Cloud computing services. The Graphics segment includes GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems, and Omniverse Enterprise software for building and operating industrial AI and digital twin applications.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Nvidia's Stock Shows Huge Potential Upside
- Impressive Earnings: Nvidia reported $68 billion in revenue for Q4 FY2026, a 73% year-over-year increase that surpassed analyst expectations of $66.2 billion, indicating robust market demand and profitability.
- Analyst Optimism: Tigress Financial's Ivan Feinseth reiterated a strong buy rating and raised the 12-month price target to $360, suggesting a potential upside of 100%, reflecting the market's underestimation of Nvidia's future growth.
- Market Dominance: Nvidia holds a 92% share of the GPU data center market, with projections of nearly $2 trillion in revenue over the next five years, showcasing its strong competitive position and demand in the AI sector.
- Positive Future Outlook: CEO Jensen Huang anticipates generating at least $1 trillion from Blackwell and Vera Rubin chip sales by the end of 2027, demonstrating the company's strong confidence in future computing demand.
See More
Nvidia Secures Approval for H200 Chip Sales in China
- Market Access Breakthrough: On March 17, Nvidia secured Chinese approval to sell its second most powerful H200 chip, paving the way for the company to resume sales and indicating a potential easing of US-China tensions in the AI sector.
- Production Capacity Boost: CEO Jensen Huang announced that Nvidia is ramping up production of the H200 chips to meet strong demand from China, highlighting the company's strategic focus on this critical market amid global AI competition.
- Revenue Dependency: Prior to the ban, China accounted for nearly a quarter of Nvidia's total revenues, making this approval a significant milestone for the company's long-term prosperity and underscoring China's vital role in its business strategy.
- Technological Leadership: Nvidia designs and sells high-performance GPUs and AI software, serving as a primary infrastructure provider for modern AI, data centers, and gaming, with its chips playing crucial roles in generative AI, autonomous vehicles, and professional visualization, further solidifying its market leadership.
See More
Nvidia's Market Cap Could Reach $10 Trillion
- Growing Market Demand: Demand for Nvidia's powerful processors continues to surge, with global data center capital expenditures projected to reach $3 to $4 trillion by 2030, indicating substantial growth potential, particularly in the AI sector.
- Revenue Growth Expectations: Analysts estimate Nvidia's revenue will rise by approximately 70% this year, suggesting the company is poised for significant financial performance in the coming years, further solidifying its market leadership.
- Clear Market Cap Target: If Nvidia achieves $368 billion in revenue in fiscal 2027 and grows at a 30% pace over the next two years, it is expected to surpass $600 billion in revenue, paving the way for a market cap of $10 trillion.
- Significant Investment Value: With a reasonable valuation, Nvidia's stock could potentially double in the next three years, making it a
See More
Nvidia Adjusts Feynman Chip Design Due to TSMC Capacity Issues
- Design Compromise: Nvidia plans to adjust the design of its Feynman AI chips, set to debut in 2028, due to insufficient capacity, which could lead to increased costs and supply constraints, thereby impacting future market competitiveness.
- Capacity Constraints: The collaboration with TSMC will see only the most critical components produced using the A16 process, while others will shift to the older N3P (3nm) node, potentially affecting chip performance and market delivery timelines.
- Market Pressure: Amid ongoing U.S.-Iran tensions, Nvidia's stock has fallen 6% over the past four sessions, indicating growing investor concerns about its future performance as sentiment shifts to neutral.
- Industry Impact: This situation underscores TSMC's pricing and strategic power in advanced manufacturing, which may lead to strong demand for suppliers tied to advanced manufacturing equipment and materials, further influencing the dynamics of the entire chip sector.
See More
Nvidia's Market Cap Could Reach $10 Trillion
- Market Leadership: Nvidia currently boasts a market cap of $4.4 trillion, with projections suggesting it could grow to $10 trillion in the next three years, reflecting strong demand and profitability in the AI processor market.
- Capital Expenditure Growth: Global data center capital expenditures are expected to reach $3 trillion to $4 trillion by 2030, with the big four AI giants spending around $650 billion this year, indicating substantial growth potential ahead.
- Revenue Expectations: Analysts estimate Nvidia's revenue will rise by approximately 70% this year; if it maintains this growth rate into fiscal 2027, revenue could hit $368 billion, and with a 30% growth over the next two years, it would exceed $620 billion, easily surpassing the $600 billion threshold.
- Investment Value: Valuing Nvidia at a reasonable 30 times earnings implies it needs to achieve an annual net income of $300 billion, and with a consistent 50% profit margin, its significant growth potential positions it as a
See More
SEC and CFTC Clear Regulatory Path for XRP, $3 Target Revisited
- Regulatory Clarity: The SEC and CFTC's new classification of XRP as a 'digital commodity' alleviates compliance burdens for financial institutions, encouraging them to engage with XRP's ecosystem without legal concerns.
- Increased Market Confidence: With XRP priced at $1.44, the new regulatory framework enhances confidence among its target users—financial institutions—potentially driving demand and pushing XRP's price back towards the $3 mark.
- Capital Inflows Rebound: On the day the new guidance was published, XRP ETFs saw $4.6 million in net inflows, breaking a streak of significant outflows, indicating a potential shift in market sentiment that could attract further investment.
- Historical Highs Within Reach: Given XRP's previous all-time high of $3.65, the new regulatory clarity creates plausible conditions for it to surpass $3 again, although investors should remain cautious due to current market volatility.
See More
Nvidia's Stock Shows Huge Potential Upside
- Impressive Earnings: Nvidia reported $68 billion in revenue for Q4 FY2026, a 73% year-over-year increase that surpassed analyst expectations of $66.2 billion, indicating robust market demand and profitability.
- Analyst Optimism: Tigress Financial's Ivan Feinseth reiterated a strong buy rating and raised the 12-month price target to $360, suggesting a potential upside of 100%, reflecting the market's underestimation of Nvidia's future growth.
- Market Dominance: Nvidia holds a 92% share of the GPU data center market, with projections of nearly $2 trillion in revenue over the next five years, showcasing its strong competitive position and demand in the AI sector.
- Positive Future Outlook: CEO Jensen Huang anticipates generating at least $1 trillion from Blackwell and Vera Rubin chip sales by the end of 2027, demonstrating the company's strong confidence in future computing demand.
See More
Nvidia Secures Approval for H200 Chip Sales in China
- Market Access Breakthrough: On March 17, Nvidia secured Chinese approval to sell its second most powerful H200 chip, paving the way for the company to resume sales and indicating a potential easing of US-China tensions in the AI sector.
- Production Capacity Boost: CEO Jensen Huang announced that Nvidia is ramping up production of the H200 chips to meet strong demand from China, highlighting the company's strategic focus on this critical market amid global AI competition.
- Revenue Dependency: Prior to the ban, China accounted for nearly a quarter of Nvidia's total revenues, making this approval a significant milestone for the company's long-term prosperity and underscoring China's vital role in its business strategy.
- Technological Leadership: Nvidia designs and sells high-performance GPUs and AI software, serving as a primary infrastructure provider for modern AI, data centers, and gaming, with its chips playing crucial roles in generative AI, autonomous vehicles, and professional visualization, further solidifying its market leadership.
See More
Nvidia's Market Cap Could Reach $10 Trillion
- Growing Market Demand: Demand for Nvidia's powerful processors continues to surge, with global data center capital expenditures projected to reach $3 to $4 trillion by 2030, indicating substantial growth potential, particularly in the AI sector.
- Revenue Growth Expectations: Analysts estimate Nvidia's revenue will rise by approximately 70% this year, suggesting the company is poised for significant financial performance in the coming years, further solidifying its market leadership.
- Clear Market Cap Target: If Nvidia achieves $368 billion in revenue in fiscal 2027 and grows at a 30% pace over the next two years, it is expected to surpass $600 billion in revenue, paving the way for a market cap of $10 trillion.
- Significant Investment Value: With a reasonable valuation, Nvidia's stock could potentially double in the next three years, making it a
See More
Nvidia Adjusts Feynman Chip Design Due to TSMC Capacity Issues
- Design Compromise: Nvidia plans to adjust the design of its Feynman AI chips, set to debut in 2028, due to insufficient capacity, which could lead to increased costs and supply constraints, thereby impacting future market competitiveness.
- Capacity Constraints: The collaboration with TSMC will see only the most critical components produced using the A16 process, while others will shift to the older N3P (3nm) node, potentially affecting chip performance and market delivery timelines.
- Market Pressure: Amid ongoing U.S.-Iran tensions, Nvidia's stock has fallen 6% over the past four sessions, indicating growing investor concerns about its future performance as sentiment shifts to neutral.
- Industry Impact: This situation underscores TSMC's pricing and strategic power in advanced manufacturing, which may lead to strong demand for suppliers tied to advanced manufacturing equipment and materials, further influencing the dynamics of the entire chip sector.
See More
Nvidia's Market Cap Could Reach $10 Trillion
- Market Leadership: Nvidia currently boasts a market cap of $4.4 trillion, with projections suggesting it could grow to $10 trillion in the next three years, reflecting strong demand and profitability in the AI processor market.
- Capital Expenditure Growth: Global data center capital expenditures are expected to reach $3 trillion to $4 trillion by 2030, with the big four AI giants spending around $650 billion this year, indicating substantial growth potential ahead.
- Revenue Expectations: Analysts estimate Nvidia's revenue will rise by approximately 70% this year; if it maintains this growth rate into fiscal 2027, revenue could hit $368 billion, and with a 30% growth over the next two years, it would exceed $620 billion, easily surpassing the $600 billion threshold.
- Investment Value: Valuing Nvidia at a reasonable 30 times earnings implies it needs to achieve an annual net income of $300 billion, and with a consistent 50% profit margin, its significant growth potential positions it as a
See More
SEC and CFTC Clear Regulatory Path for XRP, $3 Target Revisited
- Regulatory Clarity: The SEC and CFTC's new classification of XRP as a 'digital commodity' alleviates compliance burdens for financial institutions, encouraging them to engage with XRP's ecosystem without legal concerns.
- Increased Market Confidence: With XRP priced at $1.44, the new regulatory framework enhances confidence among its target users—financial institutions—potentially driving demand and pushing XRP's price back towards the $3 mark.
- Capital Inflows Rebound: On the day the new guidance was published, XRP ETFs saw $4.6 million in net inflows, breaking a streak of significant outflows, indicating a potential shift in market sentiment that could attract further investment.
- Historical Highs Within Reach: Given XRP's previous all-time high of $3.65, the new regulatory clarity creates plausible conditions for it to surpass $3 again, although investors should remain cautious due to current market volatility.
See More
