The Motley Foolยท2025-03-18 08:55Core Viewpoint - The recent market corrections present a buying opportunity for long-term investors, particularly in quality tech stocks that are currently undervalued due to the market sell-off [1] Nvidia - Nvidia has experienced a 20% decline from its highs, but remains a strong candidate for investment due to its leadership in AI and GPU technology [3][7] - The company is the dominant player in the GPU market, essential for training AI models, thanks to its CUDA software platform which has given it a significant technological advantage over competitors [5] - Nvidia's revenue has more than doubled in each of the past two years, with continued strong demand for its chips expected [7] - The stock is currently trading at a forward P/E ratio of below 27 times 2025 analyst estimates and a PEG ratio of 0.5, indicating it is undervalued [7] Amazon - Amazon, primarily known as an e-commerce retailer, is fundamentally a tech company, with its most profitable segment being Amazon Web Services (AWS) [8] - AWS, launched in 2006, is the largest cloud computing provider globally, benefiting from the AI boom as customers seek to develop their own AI models [9] - AWS has seen 19% revenue growth last quarter and plans to invest $100 billion in capital expenditures this year to expand its AI data center capabilities [11] - Amazon has developed custom AI chips through its Annapurna Labs subsidiary, providing a cost advantage in the cloud computing sector [12] - The company is also leveraging AI in its e-commerce operations to enhance seller tools, improve consumer matching, and optimize delivery routes [13] - Amazon's stock is currently trading at a trailing P/E of 36, one of its cheapest valuations in recent times [14]