We recently published a list of 9 Stocks That Could 10X Over the Next 2 Years. In this article, we are going to take a look at where NVIDIA Corporation (NASDAQ:NVDA) stands against other stocks that could 10X over the next 2 years.
US Tariffs and the Stock Market Turmoil
While tariffs from the US government disrupted international trade, they also led to uncertainty and turbulence in financial markets, with the S&P 500 closing below 5,000 points for the first time in nearly a year. An analysis from the World Economic Forum regarding how tariffs cause volatility in financial markets was stated in the words of Santiago Fernández de Lis, Head of Regulation, BBVA, as follows:
“The main impact of trade tensions on global markets is through uncertainty. When major economies—like the US and China—engage in a tariff war, investors fear slower global trade, disrupted supply chains and weakened corporate profits. This anxiety translates into market volatility. Companies delay investment decisions, consumers lose confidence, and currencies fluctuate wildly.”
However, global markets rebounded later as the US president made an announcement of a 90-day pause on additional higher tariffs that had to impact almost 80 countries, with the exception of China. In the case of China, the new president is convinced to keep high tariffs as he stated that these tariffs would be increased to 125% from 104% following China’s announcement of additional retaliatory tariffs against the US.
Following this pause in tariffs, Wall Street witnessed a sigh of relief. The S&P 500 rose 9.52%, thereby marking its biggest one-day gain since 2008. The Dow Jones Industrial Average climbed almost 7.87% to close at 40,608.45. Simultaneously, the tech-heavy Nasdaq soared 12.2% and had its best day since January 2001.
Our Methodology
To compile our list of the 9 stocks that could 10X over the next 2 years, we first carried out a consensus by sifting through multiple similar articles online. Once we had an extended list of the stocks that could 10X over the next 2 years, we shortlisted the top 9 stocks based on the number of hedge funds that have stakes in them, as of Q4 2024.
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).
A close-up of a colorful high-end graphics card being plugged in to a gaming computer.
NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 223
NVIDIA Corporation (NASDAQ:NVDA) specializes in products and platforms for the gaming, professional visualization, data center, and automotive markets. The chip maker is a pioneer of GPU-accelerated computing and is well known for its GPU technology. As of 2024’s third quarter, the company had 90% of the global GPU market share.
With the US government limiting exports of the company’s H20 artificial intelligence chip to China, NVIDIA Corporation (NASDAQ:NVDA) would be taking $5.5 billion in charges in its fiscal 2026 first-quarter results. According to the company, these charges are associated with H20 products for inventory, purchase commitments, and related reserves. While the United States has had restrictions on selling chips for use in China’s supercomputers since 2022, there is a risk that H20 could be used or diverted to supercomputers in the country. The US government has informed the chip maker that it has to have an export license to sell its H20 chips to China. Regardless of the $5.5 billion reserve related to the export restrictions, UBS analyst Timothy Arcuri maintained a Buy rating alongside a price target of $185 on the stock. Although Arcuri thinks that the requirement for licensing would potentially hinder the company’s capacity to exceed financial expectations and that removing the H20 chip line from financial models could reduce earnings per share by nearly $0.20, he sees it as a positive “clearing event” for the firm considering that it has planned to invest $500 billion in AI infrastructure in the US over the next four years.
Overall, NVDA ranks 2nd on our list of stocks that could 10X over the next 2 years. As we acknowledge the growth potential of NVDA, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. 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 this cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.
Hedge Fund Resource Center