The Motley Foolยท2025-08-03 22:30Core Viewpoint - AI investing remains a strong theme in the market, with several stocks identified as excellent buying opportunities in August [1] Group 1: Nvidia - Nvidia is recognized as a leading stock in AI investing due to its GPUs being essential for AI workloads [4] - The U.S. government previously revoked Nvidia's export license for H20 chips to China, resulting in a projected revenue loss of $8 billion from an expected $45 billion [5] - Nvidia has reapplied for its export license and expects approval, which could enhance growth for the remainder of the year [6] Group 2: Taiwan Semiconductor - Taiwan Semiconductor is the largest chip foundry globally, gaining business from competitors and solidifying its market leadership [7] - The company reported a 44% year-over-year revenue growth in Q2, with expectations of nearly 20% compound annual growth rate (CAGR) for revenue over the next five years [8] Group 3: Alphabet - Alphabet reported a 14% year-over-year revenue increase and a 22% rise in diluted earnings per share [9] - The stock trades at less than 20 times forward earnings, making it cheaper than the S&P 500, despite concerns about Google Search losing market share to generative AI [11] - Google Search revenue rose 12% year over year, indicating that Alphabet's stock is undervalued [12] Group 4: ASML - ASML holds a technological monopoly on extreme ultraviolet (EUV) lithography, crucial for chip manufacturing [13] - Increased chip demand is expected to drive demand for ASML's machines, despite some bearish outlooks due to tariff concerns [14] - ASML is projected to deliver strong growth in the coming years, with a price tag of 26 times earnings estimates seen as attractive given its market position [15]