The Motley Fool·2025-04-09 08:00Core Viewpoint - The stock market has experienced a significant crash, falling over 10% in two days, leading to increased volatility and uncertainty due to tariffs and the ongoing trade war. This situation presents an opportunity to invest slowly in high-quality stocks for the long term. Group 1: Nvidia - Nvidia is well-positioned to benefit from the growth of AI infrastructure, despite recent market sell-offs, with a forward P/E ratio under 21 and a PEG ratio below 0.4, indicating it is undervalued [2][3] - The company's GPUs are essential for AI infrastructure due to their processing power, and its CUDA software platform creates a competitive advantage [3] - AI spending remains robust, with companies investing heavily in AI infrastructure, making Nvidia a solid long-term investment option [4] Group 2: Amazon - Amazon's stock has reached one of its cheapest valuations historically, trading at a forward P/E of around 27 [5] - As the largest e-commerce and cloud computing company, Amazon is investing significantly in AI, with AWS experiencing 19% revenue growth last year and a capital expenditure budget of approximately $100 billion [6] - AI applications in e-commerce are enhancing operational efficiency, with North American e-commerce revenue rising 10% and operating income increasing by 43% [7][8] Group 3: Alphabet - Alphabet dominates the search engine market with Google and has a vast digital advertising network, being the largest digital advertising platform [9] - The company is actively developing AI technologies, including its AI chatbot Gemini, and has seen a 30% revenue increase in its Google Cloud segment [10][11] - Alphabet is also leading in the robotaxi market with Waymo and is involved in quantum computing, trading at a forward P/E of 16, indicating it is undervalued [12]