Nvidia Corp NASDAQ: NVDA And Qualcomm Inc. NASDAQ: Qcom Two of the largest names in the world of creating chips. Although both recently did not work, the meaning is growing that The impulse can be shifted.
Each promotion showed signs of stabilization after a sharp decrease, as well as with earnings, grades and technical technologies that now converge in what can be strong Q2 settings, the question is that: Which one deserves your capital? Let’s look closer.
NVIDIA: Record incomes, but the assessment remains a point of sticking
NVIDIA shares were Trading $ 109 During the session on Wednesday, still decreasing by almost 30% compared to January at the record maximum. But there is a feeling that the worst of the rollback may be behind them. Promotions seem to form a double bottom, a technical template that often signals bull circulation. In short, the bears may have tried and could not push the shares to new minimums, which suggests that buyers are slowly returning control.
Nvidia today
As of 04:00 on the East
- 52-week range
- $ 75.61
▼
$ 195.95
- Dividend yield
- 0.04%
- P/e ratio.
- 40.06
- Value is valuable
- $ 169.89
This opinion would make sense, given the last NVIDIA income report at the end of February. The company blew up the expectations of analysts by publishing Record income all the time and annual growth by almost 80%. It is no less important that direct management was ahead of expectations, confirming the idea that the demand for AI chips and the equipment of data processing centers remains reliable.
Despite all this, the shares of all their might tried to establish a stable recovery, but analysts remain firmly. William Blair and Kantor Fitzgerald both confirmed their purchase ratings in recent weeks, with Cantor price of $ 220 Indicating 100% growth from the levels of the environment.
This is a huge potential benefit for the NVIDIA size company, but it stands at the expense. Promotions are currently traded with price ratio by 38much higher than many of his peers. For investors who want to influence the chips sector without paying the best dollars, this is serious.
Qualcomm: underestimated and stable, but flying under radar
While Nvidia dominated the headlines, Qualcomm was quiet Creating a bull case your own. Promotions are still reduced by more than 30% compared to their maximum in June last year, they could never recover from the summer recession. Like NVIDIA, however, they also demonstrated stability over the past few weeks and spend a solid many years Support line at 150 US dollarsThe field such a technical base can often act as a springboard for stronger movements higher.
Qualcomm today
As of 04:00 on the East
- 52-week range
- $ 138.56
▼
$ 230.63
- Dividend yield
- 2.44%
- P/e ratio.
- 14.90
- Value is valuable
- $ 205.32
The latest qualcomm income report, published two months ago, would have exceeded expectations and an increase in dividends – one of the strongest signals that the company could send about its confidence in the future growth. Nevertheless, unlike NVIDIA, Qualcomm did not see a wave of recent analysts updates. The last major update occurred in February when Bendmmark confirmed it Buy a rating with a target price of $ 240The field still implies 55% of growth from current levels, but the lack of fresh coating is noticeable.
Nevertheless, there is an argument of the assessment that cannot be ignored. With the PE ratio is only 16, Qualcomm looks incredibly cheap compared to its peers. NVIDIA, 38, and Advanced Micro Devices Inc NASDAQ: AMDCurrently trading on a stunning 114, make Qualcomm look like a deal in comparison. For investors of value or more prone to risk, this may be a sufficient reason to lean towards Qualcomm.
What shares to buy for 2 quarters: nvidia or Qualcomm?
There is a good case that should be presented for both NVIDIA and Qualcomm, heading to Q2. NVIDIA has an impulse, the story of the growth and attention of analysts, but it comes with a richer assessment. Qualcomm offers a more reasonable opportunity with strong basic principles, a better assessment and improved technical installation.
For aggressive NVIDIA growth investors, it may still be a choice, especially if it can have $ 105 and return $ 120 in the coming weeks. But for those who are looking for value, more steady growth and lower risk of decrease, Qualcomm can be the best bet. In any case, both shares look refueling for a stronger Q2 than what they have shown so far this year.
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