Topic: How To Invest

Wall Street Stock Forecaster Hotline Friday, February 26, 2021

Article Excerpt

NVIDIA CORP., $548.58, Nasdaq symbol NVDA, remains a buy for aggressive investors. The company is a leading designer of 3D-capable video chips; they make video games run more smoothly and appear more lifelike. Nvidia has also adapted its chips for other applications, including artificial intelligence, datacentres and self-driving cars. The COVID-19 pandemic continues to spur strong demand for chips that power online gaming services and cloud-computing (where users store computer files and programs on remote servers and access them online). Even so, the stock dipped this week on fears that increasingly strong demand for chips will lead to shortages and slow Nvidia’s revenue growth. The company has also adjusted its gaming chips to make them less appealing to customers that use them to “mine” cryptocurrencies like bitcoin (miners use powerful computers to decode and verify bitcoin transactions). When crypto prices plunged in 2018, those miners dumped their Nvidia gaming cards on secondary markets, which depressed sales of new equipment. However, the company still plans to…