Topic: How To Invest

Wall Street Stock Forecaster Hotline – Friday, September 2, 2022

Article Excerpt

NVIDIA CORP., $136.47, Nasdaq symbol NVDA, remains a buy, but only for highly 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 stock fell 16% this week after the U.S. government imposed new restrictions that prevent chipmakers from selling advanced chips to customers in China and Russia. The restrictions apply to Nvidia’s A100 and H100 chips, which process artificial intelligence (AI) software and can be adapted for military applications. The company no longer sells chips to customers in Russia, but halting exports to China will cut its revenue in the current fiscal quarter ending October 31, 2022, by $400 million. To put that in context, Nvidia’s annual revenue is $29.7 billion. However, the U.S. government will let Nvidia continue to ship certain technologies to companies in China that are key to the development of…

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