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AI-generated trading idea · LONG · AVGO, NVDA

Nvidia plunges to pre-AI boom prices while Apple drops $30B on chips — buy the dip on NVDA

Nvidia has lost a massive amount of value recently, making it surprisingly cheap and leading some traders to bet on a rebound. Meanwhile, Apple just committed to a massive $30 billion deal for Broadcom chips, showing that the broader demand for silicon remains incredibly strong despite the recent tech rout.

Idea

Bloomberg reports Nvidia has shed roughly $1 trillion in value, bringing its valuation down to levels not seen since before the AI boom began. Despite this sell-off, CNBC notes that traders are actively betting on a snap-back rally for the chipmaker. Connecting this to the news that Apple just locked in a $30 billion deal with Broadcom, it's clear that the fundamental demand for high-end silicon is far from broken. If massive chip deals are still happening, the broader AI and tech selloff looks overdone, making Nvidia's new 'cheap' valuation a prime target for a bounce.

What happened since

SymbolDirT+1T+5T+20
NVDALONG-0.66% ✗

Price change since publication · updated Jul 12

Key details

AVGONVDAD1#ai#chips#value#earnings

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