The threat of definitions waves on many companies because they make anything more expensive. If this is the only source of products, consumers or companies may adhere to them to wait for definitions in the hope of reducing them.
Moreover, if the products become more expensive in general due to the tariffs, they may reduce consumer confidence and cause low spending in all fields.
Many investors are concerned about this, which is why the stock market has been sold severely over the past week. However, I think three companies can overcome the storm caused by President Trump’s identification policies, and they appear to be strong after the sale.
Many companies (maybe) can appear on the other side of these definitions well, but I focus on artificial intelligence equipment suppliers, because these companies are more affected by customs tariffs. Nafidia (Nasdaq: nvda)and Taiwan manufacturing semiconductors (Nyse: tsm)And Broadcom (NASDAQ: AVGO) They are all suppliers of artificial intelligence supporters, and I think they will be fine amid definitions.
the reason? AI companies cannot live without device suppliers products. Nafidia makes Graphics processing units (graphics processing units) It is published in huge quantities to train artificial intelligence models and then run as soon as they are published.
Its graphics processing units and infrastructure that support them are the best in the game and have a few competition. If you include other competitors, they are also a source of parts outside the United States, so they are subject to the same NVIDIA concerns. With the importance of graphics processing units in the artificial intelligence race, the company will be fine.
Broadcom is in a similar work: it makes communication keys and custom speeds (which you call XPUS), among many other things, but it is expected that these two lines in particular will provide tremendous growth over the next few years.
Currently, only three XPUS companies use Broadcom, and by 2027, this section will follow a chance in the market from 60 to 90 billion dollars. However, four other customers get and run XPUS, which will add this opportunity. Given that revenues over the past 12 months reached a total of $ 54 billion, this will be a significant growth.
While there are some concerns about the customs tariffs of these two, pushing for the superiority of artificial intelligence is much greater. As a result, investors need to look at the short -term and realize that there are still a lot of long -term capabilities with NVIDIA and Broadcom.
Taiwan semiconductor (or TSMC for shortening) is a major resource for both of these two companies. None of them can manufacture chips, so they have to get somewhere, and TSMC is the best option available for high -end chips.
President Trump threatened to impose a tariff on Taiwan, but it seems that this threat has faded after TSMC announced an investment of $ 100 billion in US semiconductor production facilities.
Taiwan president and CEO of Taiwan semi -Mosul denied that President Trump forced this expansion, but the final result is the same: Trump got what he wanted by transferring TSMC more than his production to the United States
Therefore, one of the most important suppliers who may have raised the prices of NVIDIA and Broadcom products does not need to be concerned about the definitions at the present time – and these three are free from the burden of definitions, at least at the present time.
Until the market is persuaded that the threat of definitions has ended, these three are likely to continue selling, giving investors a great opportunity to buy shares at a great price.
After the sale, these three find themselves at the price points rarely seen over the past year.
First, the semiconductor in Taiwan looks cheap in a mockery of profits 18.8 times. It is one of the most important companies in the world, but it trades with less complications than the wider S & P 500 (Snpindex: ^Gspc)That has 19.8 profits forward. This pricing mismatch is meaningless, and investors must swoop this opportunity.
NVIDIA is also completely inexpensive given the importance of its graphics processing units, and the decrease in terms of most of 2024 is another golden opportunity to buy stocks at a cheap price.
Finally, Broadcom is more expensive, but if the Xpu market starts as expected, this may be a price per share.
All three stocks It looks like great purchasesBut investors must have a long -term mental. Corporates are likely to be successful investments during a three to five years of time. But there may be some pain in the short term because it is impossible to call the market bottom in the middle of the sale.
Before buying shares in NVIDIA, think about this:
the Motley Adviser is a lie The analyst’s team has just identified what they think 10 best stocks For investors to buy now … Nvidia was not one of them. The ten shares that made the pieces can produce monster revenues in the coming years.
Look at when Nafidia This list was presented on April 15, 2005 … if you invest $ 1,000 at the time of our recommendation, You will have 745,726 dollars!
Now, it is worth notingStock consultantAverage overall return830 %-Suspestness in the market compared to164 %For S&P 500. Don’t miss the latest 10 best list, available when joiningStock consultant.
*The stock consultant dates back from March 14, 2025
Kethan Drury He has positions in manufacturing NVIDIA and Taiwan SemiDUCTOR. Motley Fool has positions in NVIDIA and Taiwan SemiDuctor. Motley Fool Broadcom recommends. Motley deception has Disclosure.
