We recently published a list of 10 Stocks Market Experts are Talking About These Days. In this article, we are going to take a look at where NVIDIA Corporation (NASDAQ:NVDA) stands against other stocks that market experts are talking about these days.
Piper Sandler’s Chief Market Technician Craig Johnson said in a latest program on CNBC that despite the recent market volatility and “negative” headlines, he sees buying opportunities for long-term investors.
“The headlines out here are extremely negative all over the place and the sentiment toward this market is absolutely awful. Typically, you find these readings near sort of bear market lows, which is what you typically see. And if you also start to look at the VIX, it is elevated out here at this point in time. Now, technically we have broken some uptrends, we’ve closed below 50 and 200-day moving averages, but we’re getting to some pretty washed-out levels. I started looking at new highs, new lows, breadth indicators, and all these pieces. And we’re starting to get to levels where you look back and say, “Is this 1989? Is this a period of time that’s like the great financial crisis or the ’87 market crash?” And I think the answer to that is flat out no. So, we’re setting ourselves up for, I think, a potentially pretty good buying opportunity. All this negativity, and again, as Warren Buffett has said, you’ve got to be greedy when people are fearful. When people are greedy, and definitely a lot of fear out here, that seems to me to be a little bit misplaced on the charts.”
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For this article, we picked 10 stocks notable Wall Street analysts were discussing over the past few days. With each company we have mentioned the latest hedge fund sentiment. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Funds Investors: 193
Todd Gordon, founder of Inside Edge Capital, said in a latest interview with CNBC that he likes NVIDIA Corporation (NASDAQ:NVDA) and expressed surprise that the stock is declining despite strong earnings growth:
“If you look at Nvidia, I mean, what do they grow earnings—50, 60, 70%? The shock and awe of Nvidia is off, but the stock is still well supported. I think the pipeline they’re looking at going forward—the AI evolution—is very much real. It’s going to touch multiple industries, multiple sectors. I like Nvidia.”
Nvidia stock has not been able to recover from the DeepSeek shock. Why? About 50% of the company’s revenue comes from large cloud providers, which are rethinking their plans amid the DeepSeek launch and looking for low-cost chips. Nvidia’s Q1 guidance shows a 9.4% QoQ revenue growth, down from the previous 12% QoQ growth. Its adjusted margin is expected to be down substantially as well to 71%. Market does not like when Nvidia fails to post a strong quarterly beat. The stock will remain under pressure in the coming quarters when the company will report unimpressive growth.
Columbia Threadneedle Global Technology Growth Strategy stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its Q4 2024 investor letter:
“NVIDIA Corporation (NASDAQ:NVDA) continued to outperform the market during the fourth quarter. The technology giant and top position in the fund delivered on sky-high expectations during the quarter and reported quarterly expectations that exceeded expectations. The red-hot company provided forward-looking expectations which were regarded as slightly lackluster as compared to prior quarters that smashed expectations. While the stock did churn a bit in the quarter, the AI giant remains top of mind for investors, especially as the company is on pace to satisfy the ‘staggering’ demand for its new product, Blackwell, which is poised to enter the market over the next year. The company’s position of owning all the major pieces of the evolving AI data center enables it to strengthen its competitive position and to define the technology roadmap for generations to come.”
Overall, NVDA ranks 2nd on our list of stocks that market experts are talking about these days. While we acknowledge the potential of NVDA, our conviction lies in the belief that under the radar AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NVDA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
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