Nvidia's AI delays are crushing the stock — but Apple's $30B Broadcom deal signa
Thesis
Nvidia's next-gen AI server rack is delayed until 2028 due to manufacturing problems, compounding a brutal $1 trillion slide in Nvidia's market value. Meanwhile, Apple just announced a $30 billion deal with Broadcom to produce chips in Colorado. The combination reveals a clear rotation: the AI spending boom isn't dying, but the money is pivoting away from Nvidia's delayed roadmap toward suppliers like Broadcom who can actually deliver. This is a classic 'winner stumbles, runner-up catches the baton' setup.
Strategy approach
Build a rule-based strategy that enters long AVGO on D1 when NVDA makes a new 60-day low while AVGO is within 5% of its 20-day high. Entry triggered by NVDA weakness contrasting with AVGO strength. Exit when AVGO drops below its 20-day average or after 30 days.