The cryptocurrency market has temporarily got a batch after President Donald Trump’s electoral victory, as some investors hoped that its lighter curriculum in regulating encryption and frank promotion of some coins was raised up.
But the threat of definitions, the concerns of potential stagnation, and the increase in pessimism from some investors caused a decrease in many encryptions during the past few months. While technology shares have suffered from the same fate, I think the potential is long -term in Technical stocks Top is based on more concrete use cases.
Below are two technical stocks that can end before Crypto gains in the coming years.
Photo source: Getty Images.
Taiwan manufacturing semiconductors(Nyse: tsm) It is the largest semiconductor manufacturer in the world and has already has already benefited significantly from increasing demand for chips from artificial intelligence. In addition to the dominance of public chips, it makes an estimated 90 % of the world’s artificial intelligence treatments.
The financial results were the progress of the manufacture of semiconductors in Taiwan. The company’s sales increased by 37 % in the fourth quarter (ending on December 31) to 26.9 billion dollars, and a reduced share profit increased by 57 % to $ 2.24 per each. American deposit delivery.
There has been a lot of talk about the decrease in artificial intelligence shares recently, but it is too early to call the mutation of artificial intelligence. Large and small technology companies are invested extensively in artificial intelligence programs and services, which will stimulate semiconductor sales of advanced years to come.
Taiwan is definitely semiconductors believed, as CC WeI CEO said in the last profit call, “Even after more than three times in 2024, we expect our revenues to multiply the acceleration of artificial intelligence in 2025 as the strong demand for artificial intelligence continues to increase.”
With the shares of Taiwan semiiconductor decreased by 15 % after recent technology sales, the company’s shares are traded with a relative discount with a price rate of 24.1, a decrease from P/E of only 30.
Nafidia‘s (Nasdaq: nvda) Long -term capabilities in the same context as Taiwan semiconductor. Although NVIDIA does not make semiconductors, their chip designs represent some of the most advanced artificial intelligence treatments in the market.
Technology companies have photographed their hands on NVIDIA processors over the past few years, which led to the acceleration of the company representing up to 95 % of all artificial intelligence chips around the world. The request has strengthened NVIDIA sales and profits, including 78 % jump in sales in the fourth quarter to $ 39.3 billion and 82 % diluted arrow profit growth to $ 0.89.
But NVIDIA has not been used from all this request from artificial intelligence. “The fastest slope of products in the history of our company is unprecedented in its speed and size,” the administration said in the fourth quarter, which is the demand for its speed and size, as it has achieved sales of $ 11 billion in a quarter of alone.
There is an increasing discussion about the extent of spending in the data center (or not) in the coming years. A great slowdown from technology companies that buy advanced processors will definitely harm NVIDIA sales and profits. But investors seem to be often concerned about the effects of the macroeconomic economy at the present time, such as recession, and they carry these concerns to the technology sector.
Although the economic slowdown will have an impact on technology companies, the focus on this is too much and forget that we are still in the early stages of artificial intelligence is a mistake. PWC capabilities can add artificial intelligence 15.7 trillion dollars to global GDP in 2030, and technology companies will need increased processors to achieve artificial intelligence goals.
This means that NVIDIA still has an enormous opportunity in the coming years, even if the temporary economic slowdown is achieved. This also means that current fears can spoil the investor’s view of NVIDIA capabilities in the long run.
I think there are some legitimate reasons for investors to possess cryptocurrencies, but Taiwan semiconductors and NVIDIA offers investors much more, as these two leading technology companies help build the future of Amnesty International.
Nothing is guaranteed, of course. But while many cryptocurrencies are still very speculative, artificial intelligence is already firmly firm and technology companies will continue to build their companies around for years to come.
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*The stock consultant dates back from April 1, 2025
Chris Niger He has no position in any of the mentioned stocks. Motley Fool has positions in NVIDIA and Taiwan SemiDuctor. Motley deception has Disclosure.