Is Nvidia Stock a Buy Now?
Nvidia (NASDAQ: NVDA) stock is on a dream run in 2023. Shares of the semiconductor giant have gained a whopping 65% so far thanks to the hype around generative artificial intelligence (AI) applications such as chatbots, which could trigger the need for thousands of graphics processing units (GPUs) -- a market that's dominated by the chipmaker.
But the stock's terrific rally has made it quite expensive from a valuation perspective. Does this mean investors should refrain from buying Nvidia stock, especially considering the conditions in the personal computer (PC) market? Let's find out.
Market research firm IDC has reduced its PC shipment forecast for 2023. The firm expects PC shipments this year to come in at 260.8 million units, which would be a 10.7% decline over last year. IDC was earlier anticipating a smaller decline of 5.6% in PC shipments this year to 281 million units, suggesting that another terrible year could be in the cards for companies related to this industry.
Source Fool.com
