Is Nvidia Stock a Buy?
Perhaps no stock exemplified the past year's artificial intelligence (AI) frenzy more than Nvidia (NASDAQ: NVDA). The semiconductor chipmaker's business benefited as tech companies spent billions of dollars to buy its AI offerings. Shares of Nvidia were up nearly 90% over the past 12 months through the end of January.
But when Chinese start-up DeepSeek announced on Jan. 27 it produced a large language model (LLM) for less than $6 million, a fraction of the money spent by U.S. companies, Nvidia shares plunged 17%. The stock since recovered, but it's still below the 52-week high of $153.13 reached on Jan. 7.
Does this create a buying opportunity? Or is DeepSeek threatening to upend Nvidia's future earnings? Read on to learn if Nvidia remains a worthwhile long-term investment in AI.
Source Fool.com
