# AI giants are spending billions on Nvidia chips — buy the dip on the main supplier

_AI-generated trading idea · LONG · AMD, NVDA_

> Canonical page: https://commonquant.ai/research/for-you/ai-giants-are-spending-billions-on-nvidia-chips-buy-the-dip--dfc08bf4-badc-4952-9f64-aaec2d50ddf8

Nvidia just made nearly $20 billion in profit over the last five months, while big tech giants are preparing to spend unprecedented amounts of money to build artificial intelligence systems.

## Idea

The biggest tech companies in the world are pouring massive amounts of money into artificial intelligence, guaranteeing a tidal wave of demand for Nvidia's chips. Nvidia is already reporting historic profits from this spending spree, proving the trend is translating into real cash. With this much money flowing into the sector, any short-term dips in Nvidia's stock price are likely to be bought up quickly by investors wanting a piece of the action. Buying on temporary pullbacks gives you a chance to ride the next wave higher.

## Key details

- Symbols: AMD, NVDA
- Timeframes: 1D
- Tags: \#tech, \#ai, \#dip\_buy

## Community

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## News sources

- [Nvidia Has Racked Up a Nearly $20 Billion Profit Over the Last 5 Months From an Unlikely Source](https://finance.yahoo.com/markets/stocks/articles/nvidia-racked-nearly-20-billion-112600300.html) — Yahoo Finance
- [Meta, Microsoft, Amazon, and Alphabet are about to spend a shocking amount of money to dominate the AI era](https://finance.yahoo.com/sectors/technology/article/meta-microsoft-amazon-and-alphabet-are-about-to-spend-a-shocking-amount-of-money-to-dominate-the-ai-era-115359575.html) — Yahoo Finance

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