Bridgewater Is Betting Big on This 1 Chip Stock (Not Nvidia). Should You Buy Shares Here?

Group 1 - Bridgewater Associates has opened a new stake in Applied Materials (AMAT) worth approximately $94.9 million in Q3 2025, while reducing its positions in other major tech companies like Nvidia [1] - Applied Materials is a key supplier of equipment for semiconductor and display manufacturing, playing a crucial role in the AI and memory chip sectors [2][3] - AMAT's stock has seen a significant increase of about 40% year-to-date in 2025, driven by rising demand for AI and memory chips, with a current market cap of $180 billion [4] Group 2 - The valuation of AMAT appears reasonable, trading at a forward P/E in the mid-20s and about 6 times sales, which is below the sector averages, indicating it is cheaper than high-growth peers like ASML and Nvidia [5] - Bridgewater's decision to invest in Applied Materials suggests a bullish outlook on select semiconductor stocks, indicating confidence in AMAT's long-term prospects despite a cautious stance on overvalued tech [6]