The Motley Fool·2025-04-09 22:10Core Viewpoint - President Trump's tariffs on imports have significantly impacted the stock market, particularly the tech-heavy Nasdaq Composite, which has declined over 20% from its recent high [1][2] Impact on Tech Stocks - Tech companies are facing challenges due to reliance on global production, leading to increased costs from new import duties [1] - Investors are concerned about future tech earnings, resulting in a sell-off of tech shares and a drop in valuations, making many established tech stocks appear undervalued [2] Long-term Investment Opportunities - Despite the risks posed by tariffs, historically strong companies have managed to overcome challenges, suggesting that long-term investors may find attractive buying opportunities in the current market [3] Recommended Tech Stocks - Nvidia: A leader in AI chips, Nvidia has experienced significant revenue growth and is currently trading at 21x forward earnings estimates, down from 50x [5][7] - Meta Platforms: Known for its social media apps, Meta is investing heavily in AI, trading at 20x forward earnings estimates, down from 29x [8][10] - Broadcom: A networking powerhouse, Broadcom's AI revenue surged 77% to over $4 billion, with shares trading at 23x forward earnings estimates, down from over 35x [11][14] - Oracle: With strong growth in multicloud database revenue, Oracle is trading at 21x forward earnings estimates, down from over 30x [15][17] - Alphabet: The owner of Google, Alphabet is trading at 16x forward earnings estimates and is heavily investing in AI, making it an attractive option for long-term investors [18][20]