Latest news with #Vinh
Yahoo
02-05-2025
- Business
- Yahoo
NVDA Stock Is Not 'Fully Pricing in' Its Positive Attributes, Analyst Says
Nvidia's (NVDA) shares are not fully pricing in all of its upbeat catalysts, and it's "certainly a buy," Keybanc analyst John Vinh told Yahoo Finance recently. Moreover, it's "a bit premature" to be concerned about Nvidia's competition from custom AI chip makers, Vinh believes. NVDA's Attractive Valuation NVDA stock is failing to price in "everything," Vinh said. And with the shares changing hands at less than 20 times analysts' average estimates, the name is trading for far less than its historical price-earnings ratios of 35 to 40 times, Vinh noted. "Premature" to Worry About Competition From Custom Chips Since we're in the "very early stages of generative AI," neither NVDA nor customer AI chip makers are going to capture the entire AI chip market, Vinh noted. Further, NVDA "is very far ahead of the competition," while there is "limited" validation of the custom chips made by Broadcom (AVGO), Vinh noted. AVGO is seen as a leader of the custom chip space. But aside from Alphabet (GOOG), which uses AVGO's custom chip, there is "limited proof" that AVGO's processors can successfully compete with those of NVDA, the analyst reported. Export Controls Are "A Little Bit of an Overhang" on NVDA Stock Export controls on NVDA's chips are "a concern and a little bit of an overhang on" NVDA stock, the analyst stated. "We'll have to see how it plays out," he added. While we acknowledge the potential of NVDA, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than NVDA but that trades at less than 5 times its earnings, check out our report about this . READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires Disclosure: None. This article is originally published at Insider Monkey
Business Insider
24-04-2025
- Business
- Business Insider
‘Right Move at the Right Time,' Says John Vinh About Nvidia Stock
Nvidia (NASDAQ:NVDA) has faced challenges with the launch of its Blackwell platform, but the AI chip giant is now making aggressive moves to get production back on track. Stay Ahead of the Market: Discover outperforming stocks and invest smarter with Top Smart Score Stocks. Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener. One example is a strategic decision to switch from the Cordelia compute board (2 CPU x 4 GPU) back to the Bianca board (1 CPU x 2 GPU) for its GB300 chips on the Blackwell Ultra platform. According to KeyBanc's John Vinh, an analyst ranked in the top 3% of Wall Street stock pros, the switch likely stems from signal integrity issues tied to the SXM socket interface used in Cordelia. While SXM was intended to enhance serviceability and supply chain flexibility, Vinh believes Nvidia's move suggests the company isn't willing to let technical hiccups delay its rollout timeline. 'We believe NVDA decided to switch back to the Bianca board design in order to maintain its 4Q25 launch schedule for GB300 and to provide a more seamless transition from Blackwell to Blackwell Ultra,' the 5-star analyst noted. That decision could be pivotal. Vinh had flagged concerns over Nvidia's dependency on heavy second-half shipments to hit its 30,000-unit NVL rack target, with 70% of that volume expected later in the year. By reverting to the Bianca board, Nvidia effectively neutralizes that risk. The new configuration acts as a drop-in replacement for its existing GB200-based NVL72 racks, easing the upgrade path and maintaining production momentum. This latest positive development comes in the wake of some recent negative headlines. Most notably, Nvidia disclosed it may face up to $5.5 billion in charges for F1Q26, following new export license requirements imposed by the Trump administration on its China-targeted H20 chip. Adding to the pressure, Huawei recently launched its Ascend 910C AI chip, which matches the performance of Nvidia's H100 by combining two of its earlier 910B GPUs. Even with the recent headwinds, Nvidia shares are trading at a forward P/E of 17x, a discount to the peer average of 20x. That valuation gap, combined with long-term tailwinds, has Vinh sticking with his Overweight (i.e., Buy) rating and a $190 price target, implying a potential 85% upside over the next year. (To watch Vinh's track record, click here) There's widespread agreement with that take amongst Vinh's colleagues; based on a mix of 37 Buy recommendations vs. 5 Holds, the analyst consensus rates NVDA stock a Strong Buy. Going by the $168.49 average price target, a year from now, shares will be changing hands for a 64% premium. (See NVDA stock forecast) To find good ideas for stocks trading at attractive valuations, visit TipRanks' Best Stocks to Buy, a tool that unites all of TipRanks' equity insights.
Yahoo
09-04-2025
- Business
- Yahoo
Trending tickers: The latest investor updates on Apple, Advanced Micro Devices, Ford, BP and AstraZeneca
Tech giant Apple (AAPL) lost its title as the world's most valuable listed company on Tuesday, after shares in the iPhone maker slid 5% amid volatility around tariffs. The fall in Apple's (AAPL) shares took its market capitalisation down to $2.6tn (£2.02tn) and saw it overtaken by fellow tech behemoth Microsoft (MSFT), which has a valuation of $2.63tn. US stocks resumed a sell-off on Tuesday, ahead of president Donald Trump's higher custom tariffs coming into effect today. Read more: Oil drops to four year low as fears of global recession rise "The reality of the tariff implementation left investors recoiling, leaving the Dow Jones (^DJI) down on the day after a brisk start which had initially propelled the index some 4% higher," said Richard Hunter, head of markets at Interactive Investor. "The other main indices were also burnt, with the benchmark S&P 500 (^GSPC) dipping briefly into bear market territory before marginally recovering, and with the Nasdaq (^IXIC) again subject to a barrage of selling." He said that Tuesday's fall in Apple (AAPL) shares took its year-to-date performance to a cumulative loss of 29%, "in a targeted acknowledgement of the hyper-tariffs being placed on China by the White House". Trump's sweeping tariffs which kicked in on Wednesday morning include 104% levies on Chinese goods. Chipmaker Advanced Micro Devices (AMD) was another tech stock caught up in market volatility on Tuesday, ending the session 6.5% in the red. KeyBanc Capital Markets senior research analyst John Vinh cut his rating on AMD (AMD) to "sector weight" from "overweight" on Tuesday. Vinh said that there were three key factors behind his downgrade, including increasing concerns around the sustainability of AMD's China business. Read more: FTSE 100 LIVE: Stocks plunge into the red as Trump's 104% China tariffs take effect "While near-term demand trends are driving increased demand for the MI308 from Chinese hyperscalers, we are increasingly concerned whether this is sustainable given concerns that further export restrictions will be levied by the US," he said. A second factor he cited was the increasing risk to the company's gross margin given a potential price war with struggling rival Intel (INTC). In addition, Vinh said that AMD (AMD) had limited opportunities to gain additional share compared to Intel (INTC) and increasing competition given the progress its rival is making on 18A chips. A report found that Ford (F), along with General Motors (GM) and Stellantis (STLA) were the most exposed to Trump's 25% tariffs on foreign-made cars, which came into effect last week. The report from auto data firm JATO Dynamics said Detroit's "Big Three" were more exposed to tariffs than German and Japanese rivals. JATO Dynamics found that Ford, GM and Stellantis together sold 1.85 million imported vehicles in the US in 2024 – originating from Mexico, Canada and China – which accounted for 12.6% of their global total sales. Read more: Stocks that are trending today By comparison, sales of imported vehicles in the US accounted for 8.5% of total global sales for Japan's Big Three – Toyota, Honda and Nissan – versus 6.9% for Germany's Volkwagen ( BMW Group ( and Mercedes ( according to the report. Felipe Munoz, a global analyst at JATO Dynamics, said: "The rollout of these tariffs is yet another problem for the industry to navigate. The US is the world's second-largest vehicle market, and it will now be more difficult than ever for the vast majority of non-Chinese automakers around the world to trade." Shares in Ford (F) fell nearly 6% on Tuesday, while Stellantis (STLA) closed the session nearly 8% in the red and GM (GM) was down 2.4%. On the UK market, shares in BP (BP.L) fell 4.6% on Wednesday morning as oil prices slid over fears of the economic impact of an escalating trade war that could weigh on fuel demand. Fellow oil major Shell was also down on Wednesday, with shares trading 3.7% in the red. Brent crude futures (BZ=F) were down 3.6% to $60.57 on Wednesday, as Trump's additional tariff rates came into effect. Stocks: Create your watchlist and portfolio Susannah Streeter, head of money and markets at Hargreaves Lansdown, said: "[Brent crude] is trading at levels not seen since 2021, as the world was still in the grip of the pandemic. "If the huge American market closes as a land of opportunity for Chinese firms, factories will be forced to slow production. Authorities would like Chinese consumers to take up the slack, but they are still reeling from a property crisis, and now trade turmoil may be more likely to induce fresh caution." The UK's biggest listed company, AstraZeneca (AZN.L), was the biggest faller in the FTSE 100 (^FTSE) on Wednesday after Trump warned that he would shortly announce a new tariff on pharmaceuticals. Shares in AstraZeneca (AZN.L) were down 5.3%, after Trump said on Tuesday that he would soon unveil a "major" levy on drugmakers. Read more: Have the Trump tariffs changed how you invest? Vote in our poll Rival UK-listed pharma giant GSK (GSK.L) fell 4.6%, while Danish drugmaker Novo Nordisk ( was down 4%. Other European pharma companies were also down on Wednesday, with Germany's Bayer ( falling nearly 3%, Swiss firm Roche ( declining nearly 6% and Novartis ( tumbling 6.5%. JD Sports (JD.L) Delta Air Lines (DAL) Constellation Brands (STZ) Seven & I Holdings (3382.T) Saga PLC (SAGA.L) Read more: What Trump's tariff turmoil means for your pensions How UK's poorest households could get £370 boost from spending review 'Dire' UK productivity falls far behind USSign in to access your portfolio
Yahoo
09-04-2025
- Business
- Yahoo
Trending tickers: The latest investor updates on Apple, Advanced Micro Devices, Ford, BP and AstraZeneca
Tech giant Apple (AAPL) lost its title as the world's most valuable listed company on Tuesday, after shares in the iPhone maker slid 5% amid volatility around tariffs. The fall in Apple's (AAPL) shares took its market capitalisation down to $2.6tn (£2.02tn) and saw it overtaken by fellow tech behemoth Microsoft (MSFT), which has a valuation of $2.63tn. US stocks resumed a sell-off on Tuesday, ahead of president Donald Trump's higher custom tariffs coming into effect today. Read more: Oil drops to four year low as fears of global recession rise "The reality of the tariff implementation left investors recoiling, leaving the Dow Jones (^DJI) down on the day after a brisk start which had initially propelled the index some 4% higher," said Richard Hunter, head of markets at Interactive Investor. "The other main indices were also burnt, with the benchmark S&P 500 (^GSPC) dipping briefly into bear market territory before marginally recovering, and with the Nasdaq (^IXIC) again subject to a barrage of selling." He said that Tuesday's fall in Apple (AAPL) shares took its year-to-date performance to a cumulative loss of 29%, "in a targeted acknowledgement of the hyper-tariffs being placed on China by the White House". Trump's sweeping tariffs which kicked in on Wednesday morning include 104% levies on Chinese goods. Chipmaker Advanced Micro Devices (AMD) was another tech stock caught up in market volatility on Tuesday, ending the session 6.5% in the red. KeyBanc Capital Markets senior research analyst John Vinh cut his rating on AMD (AMD) to "sector weight" from "overweight" on Tuesday. Vinh said that there were three key factors behind his downgrade, including increasing concerns around the sustainability of AMD's China business. Read more: FTSE 100 LIVE: Stocks plunge into the red as Trump's 104% China tariffs take effect "While near-term demand trends are driving increased demand for the MI308 from Chinese hyperscalers, we are increasingly concerned whether this is sustainable given concerns that further export restrictions will be levied by the US," he said. A second factor he cited was the increasing risk to the company's gross margin given a potential price war with struggling rival Intel (INTC). In addition, Vinh said that AMD (AMD) had limited opportunities to gain additional share compared to Intel (INTC) and increasing competition given the progress its rival is making on 18A chips. A report found that Ford (F), along with General Motors (GM) and Stellantis (STLA) were the most exposed to Trump's 25% tariffs on foreign-made cars, which came into effect last week. The report from auto data firm JATO Dynamics said Detroit's "Big Three" were more exposed to tariffs than German and Japanese rivals. JATO Dynamics found that Ford, GM and Stellantis together sold 1.85 million imported vehicles in the US in 2024 – originating from Mexico, Canada and China – which accounted for 12.6% of their global total sales. Read more: Stocks that are trending today By comparison, sales of imported vehicles in the US accounted for 8.5% of total global sales for Japan's Big Three – Toyota, Honda and Nissan – versus 6.9% for Germany's Volkwagen ( BMW Group ( and Mercedes ( according to the report. Felipe Munoz, a global analyst at JATO Dynamics, said: "The rollout of these tariffs is yet another problem for the industry to navigate. The US is the world's second-largest vehicle market, and it will now be more difficult than ever for the vast majority of non-Chinese automakers around the world to trade." Shares in Ford (F) fell nearly 6% on Tuesday, while Stellantis (STLA) closed the session nearly 8% in the red and GM (GM) was down 2.4%. On the UK market, shares in BP (BP.L) fell 4.6% on Wednesday morning as oil prices slid over fears of the economic impact of an escalating trade war that could weigh on fuel demand. Fellow oil major Shell was also down on Wednesday, with shares trading 3.7% in the red. Brent crude futures (BZ=F) were down 3.6% to $60.57 on Wednesday, as Trump's additional tariff rates came into effect. Stocks: Create your watchlist and portfolio Susannah Streeter, head of money and markets at Hargreaves Lansdown, said: "[Brent crude] is trading at levels not seen since 2021, as the world was still in the grip of the pandemic. "If the huge American market closes as a land of opportunity for Chinese firms, factories will be forced to slow production. Authorities would like Chinese consumers to take up the slack, but they are still reeling from a property crisis, and now trade turmoil may be more likely to induce fresh caution." The UK's biggest listed company, AstraZeneca (AZN.L), was the biggest faller in the FTSE 100 (^FTSE) on Wednesday after Trump warned that he would shortly announce a new tariff on pharmaceuticals. Shares in AstraZeneca (AZN.L) were down 5.3%, after Trump said on Tuesday that he would soon unveil a "major" levy on drugmakers. Read more: Have the Trump tariffs changed how you invest? Vote in our poll Rival UK-listed pharma giant GSK (GSK.L) fell 4.6%, while Danish drugmaker Novo Nordisk ( was down 4%. Other European pharma companies were also down on Wednesday, with Germany's Bayer ( falling nearly 3%, Swiss firm Roche ( declining nearly 6% and Novartis ( tumbling 6.5%. JD Sports (JD.L) Delta Air Lines (DAL) Constellation Brands (STZ) Seven & I Holdings (3382.T) Saga PLC (SAGA.L) Read more: What Trump's tariff turmoil means for your pensions How UK's poorest households could get £370 boost from spending review 'Dire' UK productivity falls far behind USSign in to access your portfolio
Yahoo
08-04-2025
- Business
- Yahoo
AMD stock catches a downgrade as concerns about China and tariffs heat up
Trump tariffs could trip up one of the hottest semiconductor stocks of the past five years not named Nvidia (NVDA). KeyBanc Capital Markets senior research analyst John Vinh slashed his rating on AI darling Advanced Micro Devices (AMD) to Sector Weight from Overweight on Tuesday. The call is somewhat against the grain, as 64% of the sell-side analysts on Wall Street rate AMD a Strong Buy or Buy, according to Yahoo Finance data. Vinh said there are three main factors behind his downgrade: Increasing concerns regarding the sustainability of AMD's China AI business. "While near-term demand trends are driving increased demand for the MI308 from Chinese hyperscalers, we are increasingly concerned whether this is sustainable given concerns that further export restrictions will be levied by the U.S.," Vinh wrote. Increasing risk to gross margin given a potential price war with struggling rival Intel (INTC). Limited opportunities to gain additional share compared to Intel and increasing competition given the progress Intel is making on 18A chips. AMD stock jumped nearly 5% in early trading as part of a broader snap-back rally in stocks as tariff fears subside, at least for one session. Read more: What Trump's tariffs mean for the economy and your wallet AMD has pushed back on fears of AI demand slowing amid economic uncertainty and profit risk from tariffs. "I do think that there could be some short-term impacts," AMD CEO Lisa Su told me in a Yahoo Finance last week (video above). "I think it's too early to say what the longer-term impacts are. I think we have to look at how things play out over the next number of months." AMD derives 66% of its sales internationally. Its cutting-edge chips are manufactured by behemoth Taiwan Semiconductor (TSM). While the Trump administration exempted semiconductors as part of its tariff push, a global trade war could raise the cost of production for AMD and its competitors — and likely bleed through to end products such as PCs. "If you look at the baseline, the baseline is we do want a more resilient supply chain. Resilient supply chains are important for every industry. They're especially important for the semiconductor industry. We are big supporters of US manufacturing," Su said. Despite the tariff uncertainty, Su isn't waiting to invest in her business. AMD this month closed on its $4.9 billion acquisition of ZT Systems. Announced in August 2024, the deal is expected to bolster AMD's presence in compute infrastructure for hyperscalers. ZT Systems counts Microsoft (MSFT) as a key customer, as does AMD. The company anticipates the transaction to be accretive to non-GAAP results by the end of 2025. "We expect AMD's current momentum in data center, enterprise, and with tier-1 PC OEMs to continue as the company remains on a rapid cadence of new product introductions and competitor INTC is at the beginning of a multi-year transition phase. Current valuation appears reasonable to us at roughly 19x our 2026 EPS estimate," Stifel analyst Ruben Roy wrote in a client note. Brian Sozzi is Yahoo Finance's Executive Editor. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email Sign in to access your portfolio
