News: Nasdaq could potentially see growth in 2025 due to focus on AI tech stocks.

From Nasdaq: 2024-12-22 04:05:00

Since the presidential election, the Nasdaq has seen a 10% increase, following historical trends of post-election market growth. Wall Street’s focus on AI tech could benefit stocks like Advanced Micro Devices (AMD) and Amazon (AMZN) in 2025.

AMD’s diversified business model and 17% revenue growth in Q3 position it as a strong competitor in the AI hardware market. With a forward P/E ratio of 25, AMD offers investors value compared to Nvidia.

Amazon’s cost-cutting measures and operational optimization have led to a 64% increase in operating income in Q3. Amazon Web Services (AWS) continues to be a key revenue driver, with significant growth potential.

AWS allows Amazon to capitalize on the AI opportunity through GPU computing power rental to start-ups, reducing dependence on suppliers like Nvidia. Amazon’s AI chips, Trainum and inferentia, offer cost-saving solutions and further diversify its business.

Investors eyeing the AI industry should consider long-term investments in companies like AMD and Amazon, which offer exposure to the industry’s growth while maintaining diversified business models.

For insights on the best stocks to invest in right now, analysts recommend considering AMD and 9 other overlooked stocks. Stock Advisor’s team has a track record of market-crushing returns, with AMD making their top picks list.



Read more at Nasdaq: History Says the Nasdaq Could Soar in 2025: 2 AI Stocks to Buy Before It Does.