Nvidia Corporation (NVDA) “appears to be in all the right” sectors, Michael Cuggino, the President and Portfolio Manager of The Permanent Portfolio Family of Funds said on Schwab Network recently.
The longtime investor noted that he had bought “a little more” NVDA stock during its selloff in recent weeks. He asserted that the shares had become “cheap” during their downturn.
“In All the Right” Areas
Among the strong sectors in which Nvidia Corporation (NVDA) operates are “data centers, AI,. gaming, and advanced applications,” Cuggino said.
Its focus on these areas has positive implications for its growth and its “success as an investment,” Cuggino suggested.
“We don’t see (these favorable trends) changing anytime soon.” he added.
Nvidia Corporation (NVDA)’s Challenges
Despite Cuggino’s bullish outlook on NVDA stock, he did cite some potential, negative catalysts that the tech giant could face.
Specifically, he said that the chip maker could have to deal with adverse “inventory issues” and demand shortages, and he stated that NVDA is “not cheap” currently.
The Recent Price Action of NVDA
In the last month, the stock has jumped 40%, but it is down 2.5% in the last three months.
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This article is originally published at Insider Monkey
