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It’s time to come to terms with the fact that risks from the U.S. chip restrictions to China for both Nvidia Corporation (NASDAQ:NVDA) and Advanced Micro Devices, Inc. (
China Is Baked In, Time To Pick Up AMD And Nvidia Stock
Summary
- I think the relaxation of Biden-era U.S. export controls on AI chips is bullish for both Nvidia Corporation and Advanced Micro Devices, Inc., as it restores access to global demand and emerging markets.
- I think both stocks have already priced in the China headwind, thus presenting a buying opportunity at current levels as the regulatory overhang softens and sentiment improves.
- Nvidia's strong position in the GPU market and AMD's gains in the CPU and data center segments indicate robust growth potential for both companies.
- Both stocks are attractive on valuation metrics and show significant upside potential in the near to mid-term.
- I hereon share my sentiment on both AMD and NVDA and why I see more upsides ahead.
I’m a retired Wall Street PM specializing in TMT; since kickstarting my career, I’ve spent over two decades in the market navigating the technology landscape, focusing on risk mitigation through the dot com bubble, credit default of ‘08, and, more recently, with the AI boom. In one word, what I’d like my service to revolve around is momentum.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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