Eye on Nvidia
Retail investors are looking at Nvidia, which has fallen from its peak. Indians can buy international stocks worth USD250,000 per year for investment purposes through the LRS route directly or through US-focused ETFs indirectly.
Over the past month, Nvidia is down 2%. However, in the last six months, the stock is down 20%. Over the last five years, Nvidia has gone up by 1500% or 70% CAGR – one of the fastest-growth for any stock in the US market. The present fall is seen as a value opportunity.
“The PE multiple of the stock is now at 36x compared to 55x in October 2024. The company is attractive at the present level from a long-term perspective but I think it is better to buy a basket of AI stocks than simply bet on Nvidia which is now at the crux of the AI wave. However, someone will eventually dent their market share,” says Vikas Gupta, CEO and chief investment strategist, OmniScience Capital.