A 50% Plunge Makes Nvidia the 1 Chip Stock to Buy Today
“Hey, dad.” My son’s voice came from the backseat of the car followed by a long pause.
We had been talking about his day just a minute ago.
“Hey, dad.” Another pause.
I responded, and my son took off with his conversation.
It was just the two of us in the car. The radio was off, and there were no other distractions.
He should have been able to carry on with his conversation.
He was waiting to make sure he had my attention before he began the new topic.
See, the personal smart assistants that live in our smartphones have trained him to wait for a response before proceeding.
He’s talked to Siri, Apple’s smart assistant, enough times that it’s trained him to wait for acknowledgment before getting into the conversation.
At 9 years old, he uses Siri more than I do.
Siri helps him with homework, weather, sports and translations.
It’s not just my son. His generation is growing up with a smart assistant by their side.
It’s as natural for them to talk to Siri as it is to speak to people.
The Internet of Things is a revolution — and it’s just getting started.
If you have been looking for the right time to invest in this trend, now is your second chance.
The stocks that are leading the revolution just experienced a crash. Many are down more than 50% over the past few months.
This gives us an excellent opportunity today to buy into one stock that is at the forefront of these advancements…
Nvidia Is the Chip Stock of the Future
Nvidia Corporation (Nasdaq: NVDA) is a leading artificial intelligence computer chip company.
The market has been on a roller-coaster ride. The ups and downs affected chip stocks the most.
Nvidia, for example, is down more than 50% since its peak near the end of 2018.
Understanding that it’s a classic case of “buy the rumor, sell the news” gives us an excellent buying opportunity.
Most people think of the old adage as only buying, then selling.
The saying implies that investors’ sentiment changes once the rumor becomes news.
But it works both ways.
This time, we are looking at it as selling, then buying.
Shares of Nvidia and other chip stocks have gotten crushed as investors weighed the rumors of an economic slowdown in China.
We knew it was happening. There were reports and signs.
The extent of that slowdown wasn’t news quite yet.
With the latest round of quarterly earnings announcements, we saw just how bad it got.
It was ugly in China.
Since October, investors punished the stock based on a rumor.
But now that it’s news, all the negative reaction is already priced in.
Now investors are looking forward. They see the demand growth in artificial intelligence is going to create for chip companies like Nvidia.
It will create a surge of buying in chip stocks. Nvidia is going to be a top performer.
Nvidia Will Skyrocket With the Internet of Things Revolution
We are in the early stages of the Information Age.
Look around you.
A few of us have smart doorbells, smart vacuum cleaners and smart thermostats. But these items aren’t the standard yet.
They remain a luxury.
Over the next decade or so, that’s going to change.
And the available items that become “smart,” or connected to the internet, are going to explode as well.
You can even buy smart shoes, which you might have seen on Marty McFly in Back to the Future.
Nike recently revealed its self-tying shoes, which you control with a smart app.
All of the current and future smart devices have one thing in common — smart computer chips.
While Nvidia also makes chips for personal and gaming computers, it’s the leading company in self-driving technology.
It also provides products to data centers, a storage for smart devices’ data.
The chip company is set to benefit from virtually every aspect of growth in the Internet of Things — this makes it an excellent buying opportunity today.
And after its 50% crash, now’s the ideal time to load up on shares of this stock.
Chad Shoop, CMT
Editor, Automatic Profits Alert