President Donald Trump Just Dealt a Jarring Blow to Nvidia. Can the Artificial Intelligence (AI) Chip King Recover and Reclaim Its Previous Highs?
From Nasdaq: 2025-04-25 06:20:00
Nvidia faces challenges as Chinese start-up DeepSeek uses less advanced chips to rival OpenAI. Tariffs and export restrictions have hit the company hard, with a $5.5 billion charge expected in fiscal 2026. Analysts predict zero revenue from China this year, causing a 24% stock decline year to date.
Despite setbacks, Nvidia remains a top AI chipmaker with plans for new, faster chips like Vera Rubin. The stock, trading at 23 times forward earnings estimates, could see significant upside from current levels. Analysts recommend accumulating shares for long-term growth potential.
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2. In other news, a new study has found that 75% of Americans are experiencing burnout at work. The survey, conducted by a leading HR company, revealed that factors such as heavy workloads, lack of work-life balance, and job insecurity were major contributors to this widespread issue.
3. On the political front, President Trump announced a new round of tariffs on Chinese imports, totaling $200 billion. This move comes in response to China’s retaliatory tariffs on US goods, further escalating the trade war between the two countries and raising concerns about the impact on consumers and businesses.
4. Meanwhile, in the tech world, Apple unveiled its latest iPhone models, the iPhone 11, 11 Pro, and 11 Pro Max. The new devices feature improved cameras, longer battery life, and faster processors, but some analysts are skeptical about whether these upgrades will be enough to drive strong sales in a saturated smartphone market.
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