Wall Street's finest are bullish on two supercharged chip stocks not named Nvidia.Let's address the elephant in the room: When it comes to artificial intelligence (AI), no one's going to forget Nvidia (NVDA 0.58%). I know I certainly won't. The company is the standard bearer for the accelerating adoption of AI thanks to its gold standard AI chips and has thus far been the one undisputed beneficiary of the AI revolution. The stock price has gained more than 200% over the past year alone, led by triple-digit ...

Arm is finally finding its way into the data center, but the stock is priced for perfection.Arm Holdings' (ARM 7.71%) earnings report last week was a bit of a mixed bag. While Arm beat analyst expectations for both revenue and earnings, the chip company's outlook for fiscal 2025 fell a bit short of the consensus estimate. Arm expects to generate revenue of $3.95 billion for the full year, plus or minus $150 million, a hair below the $3.99 billion analysts anticipated.Arm stock initially tumbled following th ...

Buying these beaten-down chip stocks could help you profit from the AI revolution.Artificial intelligence (AI) is changing the world at an incredible pace, and its earthshaking impacts are still just beginning to unfold. The rapid evolution of this new category of software is poised to influence nearly every industry imaginable, and is being made possible by advanced semiconductors.Most notably, the rise of AI has powered incredible stock gains for Nvidia -- the leading designer of graphics processing units ...

Apple (NASDAQ:AAPL) is best known for its consumer electronic products that develop a cult-like following. In fact, the tech stock is a formidable chipmaker. The very first in-house chip appeared in the iPhone 4 way back in 2010. Yet today, all Apple computers run on their own processors.Apple’s chips are for its own consumption though. They don’t sell them to others. And because it relies upon its own designs, it is no longer beholden to other chipmakers for supply. Now Apple isn’t a foundry. It doesn’t ph ...

Wall Street newbie Arm Holdings PLC (NASDAQ:ARM) is 2.8% higher to trade at $111.91 at last glance, after Nikkei Asia reported the semiconductor name hopes to launch its first artificial intelligence (AI) chip next year.With all the hype surrounding AI chips, it's no surprise that bullish options traders were quick to respond to ARM's update. Already today, 53,000 calls have exchanged hands, or double the intraday average volume.  The most active contract by far is the May 120-strike call, followed by the 1 ...

Neil Rozenbaum has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy. Neil is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. ...

Company Strategy and Market Focus - Arm plans to launch artificial intelligence chips in 2025, establishing a new AI chip unit and building a prototype by spring 2024, with mass production expected by fall 2025 [1][2] - The company is pushing into the lucrative AI datacenter market, targeting tech giants like Microsoft, Meta, Alphabet, and Amazon, which are developing in-house AI chips to reduce reliance on Nvidia [3] - Arm's shares have more than doubled since its IPO in September 2023, reflecting investor confidence in its potential to capture a significant share of the AI infrastructure market [3] Financial and Development Details - Arm will fund the majority of the initial development costs, expected to be billions of yen, with SoftBank also contributing [2] - The AI chip business could potentially be spun off under SoftBank once operational [2] - SoftBank has initiated negotiations with Taiwan Semiconductor Manufacturing (TSM) and other chipmakers to secure production capacity [2] Market and Share Performance - The AI chip market is projected to grow from $30 billion in 2023 to $200 billion by 2032, according to Precedence Research [3] - Arm's share price has been trading within a rising wedge since mid-April, with potential support at $79 and resistance near $145 [4] - Arm shares closed at $108.84 last week, gaining 5.1% during Friday's session [4]

Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. ...

Core Viewpoint - The company reported record revenues in its recent earnings report, but the stock price fell due to high valuation concerns despite strong growth expectations [1][2]. Group 1: Financial Performance - Arm reported a year-over-year revenue growth of 47%, driven by the adoption of its Armv9 chip technology, which significantly boosted royalty revenue [2]. - The company's remaining performance obligations increased by 45% year over year, indicating substantial growth potential [2]. - The consensus Wall Street estimate projects the company's earnings per share to grow at an annualized rate of 40% in the coming years [2]. Group 2: Future Outlook - Management has guided for revenue growth to decelerate, projecting a range between 17% and 27% for fiscal 2025 [3]. - Strong demand for Armv9 in sectors such as smartphones, automotive, and cloud services is noted, although this is partially offset by weaker results in the Internet of Things [3]. - The stock's forward price-to-earnings ratio is high at 68, which may continue to pressure the stock price amid slowing growth [3].

Output of an Artificial Intelligence system from Google Vision, performing Facial Recognition on a ... [+] photograph of a man, with facial features identified and facial bounding boxes present, San Ramon, California, November 22, 2019. (Photo by Smith Collection/Gado/Getty Images)Getty ImagesIt appears, A.I. stocks are hitting a little turbulence during earnings season. I don’t mean the earnings are bad. I’m focused on how A.I. stocks react to the earnings. Let’s take a closer look.Forward-Looking Mechanis ...