The semiconductor stocks might have endured a bumpier ride in the second half of 2025, but there might be no slowing them down as 2026 kicks off and a new slate of AI trends looks to reignite enthusiasm for many of the stocks that have sold off in recent weeks.
In this article, we break down Nvidia Corporation's $20B acquisition of AI chip startup Groq. Furthermore, we reassess Nvidia's long-term risk/reward using TQI's Valuation model. Spoiler alert: Nvidia is now a modest Buy in my book. Read on to learn more.
The AI trade proved its worth again last year, as tech stocks finished with a more than 22% gain. That led to the sector outperforming the broad S&P 500 for the 11th time in the past 12 years.
The trade war with China was tough on Nvidia Corp. (NASDAQ: NVDA) investors.
Futurum CEO Daniel Newman discusses whether Nvidia will be able to maintain its dominant position in the AI boom, with rivals like Google and Meta nipping at its heels.
For the last three years, Nvdia (NASDAQ:NVDA) has reigned supreme as the uncontested leader of the AI revolution, driven by an insatiable global demand for large-scale model training. Nonetheless, the company's recent strategic move – a monumental $20 billion licensing agreement with startup Groq and the recruitment of its top executives – indicates a significant transformation in the Silicon Valley landscape.
Few companies in history have enjoyed stock market success akin to Nvidia's (NASDAQ: NVDA) remarkable rally that started in late 2022. Despite years of growth – and the late 2025 correction – NVDA shares appear still to be a strong buy at the onset of 2026.
Although Nvidia ‘s (NASDAQ:NVDA) shares jumped 38% over the course of 2025, reflecting strong early-year momentum driven by artificial intelligence (AI) demand, the second half of the year was something of a disappointment : The stock largely traded sideways as questions about slowing growth, supply constraints, competitive pressures, and valuation grew.
Blowout artificial-intelligence spending fills chip maker's coffers, but the Groq deal shows that the company needs to think creatively.
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Tech stocks look as if they are trying to find some kind of move to the upside on Wednesday as we head to New Year's Day.
Shares of Nvidia Corp. (NASDAQ: NVDA) have retreated fractionally in the past week, after it announced a $14 billion order for chips from ByteDance and finalized a $5 billion investment in Intel.