Should I buy the stock for my ISA? Or are there better opportunities out there?

An introduction to SK Hynix

A manufacturer of DRAM and NAND products, SK Hynix is one of largest memory chip companies in the world. Along with Samsung and Micron, it’s part of the ‘Big Three’ that dominates global memory production.

Where it has an edge is High Bandwidth Memory (HBM), which is used in AI chips made by the likes of Nvidia. It made aggressive bets on HBM early on and as a result, it has a 55%-60% market share here today.

Huge growth

Given that demand for HBM’s sky-high right now, and the company has pricing power, it’s seeing strong growth. In Q1, revenue came in at KRW 52,576bn, up 198% year on year.

“As memory becomes increasingly critical in AI computing, demand for high-performance memory is surging while supply remains constrained, expect favourable pricing environment to continue for the time being”.

SK Hynix Q1 results

Growth isn’t the only thing to like about this business as it’s also very profitable. In Q1, net profit was up a whopping 398% to KRW 40,346bn.

In terms of valuation, it looks attractive. With analysts forecasting earnings per share of KRW 315,000 this year, the forward-looking price-to-earnings (P/E) ratio’s only about eight.

Up 800% in a year!

On the downside, the stock’s up about 800% over the last year. I’m not a big fan of buying after surges like this as there are often big pullbacks.

Another issue is that in the past, demand for memory has been extremely cyclical. Things could be changing here due to the AI boom and the fact that memory companies are signing longer-term contracts with buyers. But at this stage, we can’t rule out another memory slowdown in the years ahead.

It’s worth noting that if demand did slow, SK Hynix’s earnings could take a big hit. In this scenario, the stock obviously wouldn’t look so cheap.

A better chip stock?

Given the 800% gain in SK Hynix over the last year, I can’t help but feel there are better chip stocks to be buying for my portfolio at the moment. Broadcom’s (NASDAQ: AVGO) an example.

It’s also growing at a spectacular rate. Last quarter, AI revenue grew 143% year on year while total revenue was up 48%.

Meanwhile, it also has an attractive valuation. Looking at earnings forecasts for the financial year starting in November, the P/E ratio is under 20.

Unlike SK Hynix however, there’s not a lot of hype around the name. In fact, it’s a little out of favour (down about 20% from recent highs).

Over the last year, it’s ‘only’ up about 40%. I’m a lot more comfortable buying after that kind of rise versus buying after a 800% hyper-gain.

Of course, it faces some of the same risks as SK Hynix. If the AI boom stalls, demand for Broadcom’s chips could slow.

Overall though, I like the risk/reward skew. I’ve been building a position in this stock recently and will continue to buy while it’s down.

Should you invest £5,000 in Broadcom right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Broadcom made the list?

Edward Sheldon owns shares in Broadcom, Nvidia, and Nasdaq

The post Should I buy SK Hynix stock for my ISA when it lands on the Nasdaq on 10 July? appeared first on The Twelfth Magpie.

Analysts at JP Morgan see this as a buying opportunity. In a recent research note, they said that they would be “aggressive buyers” of the stock at current levels.

Broadcom has pulled back

Broadcom is one of the biggest players in the AI infrastructure space. Next financial year (starting November), it’s targeting $100bn in AI chip sales.

Its share price has fallen recently, however. After rising above $480 in early June, it has pulled back to near $400.

One reason for this is that the company’s guidance for AI revenue this quarter in its recent earnings report was a tad below estimates at $16bn versus $17.2bn.

Another is that investors are concerned that Google – a major buyer of Broadcom’s custom chips – could look to diversify its supply chain. If it was to do so, it could slow Broadcom’s growth and there’s a degree of customer concentration risk here.

JP Morgan sees potential for big gains

Personally, I see this share price weakness as an opportunity (I’ve been buying the dip). And so do JP Morgan analysts Harlan Sur and Mayur Ramdhani.

They believe the market is underestimating the company and have a $580 price target on the name. That’s more than 40% higher than the share price today.

Their view is that Broadcom remains on track for next-gen Google TPU chip production. They noted that it has helped Google bring to market 14 of its most advanced chip designs over the past 12 years.

In their research note, they pointed out that Broadcom continues to have significant dominance in advanced chips. It also has a strong track record when it comes to execution.

A high-quality stock on sale

Should investors give this stock a closer look? I think so – as I said, I’ve been buying myself.

To my mind, there’s a lot of value on offer at the moment. With analysts expecting earnings per share of $19.20 next financial year, the forward-looking price-to-earnings (P/E) ratio is near 20.

That strikes me as very low given that Broadcom’s revenue is forecast to grow about 65% this financial year and next as a result of high demand for its AI chips and networking equipment.

It’s worth noting a lot of other firms are very bullish on the name too. For example, BNP Paribas Exane recently hiked its price target to $640 while KeyBanc went to $575.

A top AI play

Of course, the bull case here assumes that the AI buildout continues. If it suddenly grinds to a halt for some reason, Broadcom’s revenue growth could slow and we might not see $19.20 per share in earnings next financial year.

I’m of the belief that the buildout will continue, however. So, I think Broadcom is worth considering while it’s well off its highs.

Should you invest £5,000 in Broadcom right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Broadcom made the list?

Edward Sheldon owns shares in Broadcom, Nvidia, and JP Morgan

The post JP Morgan says investors should buy this S&P 500 chip stock while it’s down (it’s not Nvidia) appeared first on The Twelfth Magpie.

Is this a smart move? I think so – I’ve actually been making this trade myself.

Earnings were actually very strong

After Broadcom posted its earnings for Q2 last week, its share price was hammered. However, the results were actually very strong.

For the quarter, revenue came in at $22.2bn, up 48% year on year. Meanwhile, non-GAAP net income was $12bn, up 55%.

Zooming in on the AI chips side of the business, revenue here grew 143% to $10.8bn. In its earnings release, the company said this growth was driven by increasing demand for custom AI accelerators and AI networking.

Looking ahead, Broadcom said it expects semiconductor revenue from AI to grow by more than 200% to $16bn in Q3. Overall revenue for the current quarter is expected to be around $29.4bn, an increase of 84% year on year.

Why did the share price tank?

Now, despite these incredible growth figures, the market wasn’t impressed with Broadcom’s earnings and the stock tanked. It seems that investors were expecting a slightly higher forecast for Q3 AI revenue (around $17.2bn).

To my mind, that’s focusing too much on the short term and not looking at the big picture (the growth of the data centre/AI industry). That said, Broadcom’s share price had seen a huge run and so there was no margin for error.

Analysts have raised their price targets

What stands out to me about the earnings is that since they were posted, Wall Street analysts have actually been raising their price targets for Broadcom. I see increases from over 15 different firms.

Several firms have gone to $550 or higher (almost 40% above the current share price). This reinforces my view that there’s a disconnect between the fundamentals and the share price.

How does the valuation look?

In terms of the valuation, it looks attractive to me after the share price fall. With analysts forecasting earnings per share of $19 for the financial year starting in November, the forward-looking price-to-earnings (P/E) ratio’s only around 21.

I see value at that multiple, especially when the rate of earnings growth is considered. With earnings per share forecast to grow 66% next financial year, the price-to-earnings-to-growth (PEG) ratio’s only 0.32 (a ratio under generally signals that value is on offer).

What are the risks?

Now, of course, there’s no guarantee the company will be able to generate $19 per share in earnings next year. A slowdown in AI spending from its major customers (Google, Anthropic, Meta) could put a spanner in the works.

With hyperscalers projected to spend over $1trn on AI in 2027 however, I’m optimistic in relation to the growth story here. In my view, this chip stock’s worth a closer look after its share price pullback.

Should you invest £5,000 in Broadcom right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Broadcom made the list?

Edward Sheldon owns shares in Broadcom

The post UK investors are buying Broadcom shares after their 20% crash appeared first on The Twelfth Magpie.

Now, I’ve explored this scenario in a few articles lately because I do see it as a potential risk. But today I want to look at the other side of the coin – what if AI actually results in a massive stock market rally?

Higher profits could boost stocks

In the short term, I definitely see the potential for a rally. This is because AI is likely to enhance company profitability significantly.

As companies automate tasks with the technology and replace human workers with AI agents, costs are likely to drop sharply. And when costs drop, profits tend to rise.

What drives share prices? Profits.

So, we could be in for a nice move higher in the years ahead. If corporate profits are rising, there’s a good chance that the market will rise too.

Chips are driving the market higher

What about the job losses though? Surely this hits consumer spending and the stock market in the years ahead?

Well, it could. But here’s the thing.

Today, chip stocks like Nvidia and Broadcom (NASDAQ: AVGO) are a major part of the market. Chips are now more than 20% of the S&P 500 index, up from less than 10% a year ago.

If these companies continue to see high demand for their products in the years ahead (which I think is very possible), they could continue to drive the market higher.

It’s worth noting that we’ve seen this dynamic play out this year. Looking at the S&P 500, there are tons of stocks that are down 10% or 20% this year.

Yet the index has moved higher. Because chips have pushed it up.

How can investors capitalise?

Given this potential for a move higher, investors shouldn’t bail on the stock market, in my view. Ultimately, there’s a decent chance that major indexes could move significantly higher in the years ahead.

Chips stocks could do even better, given the role of semiconductors in the AI revolution. So, I think it’s worth having material exposure to this area of the market.

One chip stock I’ve been buying for my own portfolio recently is Broadcom. It specialises in custom AI chips.

It’s seeing spectacular growth at present – its most recent earnings showed 106% growth in AI revenues.

I expect the growth to continue in the years ahead because this company is directly supplying some of the biggest spenders in the AI space (eg, Meta and Google).

And with the stock trading on a forward-looking price-to-earnings (P/E) ratio in the low 20s, I like the long-term risk/reward proposition. Taking a three-to-five year view, I think there’s potential for attractive returns.

Of course, there are no guarantees that it will do well. A slowdown in AI infrastructure spending is a risk.

I think it’s worth considering though. In my view, there’s a lot of growth potential.

Should you invest £5,000 in Broadcom right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Broadcom made the list?

Edward Sheldon has positions in Nvidia and Broadcom.

The post Will AI cause the stock market to crash or surge? appeared first on The Twelfth Magpie.

Interested to know the name of the company I invested in? Read on and I’ll tell you.

My new AI stock

The AI stock I bought was Broadcom (NASDAQ: AVGO), which makes custom AI chips for Big Tech firms and also offers networking solutions. I initially bought some shares near $430 and then added some more when they dipped below $410.

I’ve had this name on my watchlist for years now (I really should have bought it a long time ago) and came close to buying it in March when markets were down. After doing some more research on it the weekend before last, I decided that it was time to buy, despite the fact that it has jumped in price recently.

Why did I buy now?

As for why I bought it, there are numerous reasons.

One is that growth forecasts are incredibly strong. This financial year (ending 31 October), revenue is projected to grow about 65%.

Next financial year, analysts expect revenue growth of more than 50%. Note that profits are expected to grow massively over this period.

Another is the company is doing major deals with many of the big players in AI. In April, for example, it signed deals with Google, Meta, and Anthropic.

These deals signal that the company has some good technology. And they position the group at the heart of the AI boom.

I also like the fact that analyst sentiment is bullish. Recently, a number of firms have raised their price targets to $500 or higher.

Baird has the highest price target at $630. That’s more than 40% above the current share price.

The share price trend is another attraction. It’s upward in trajectory and as mentioned the stock recently broke out to new all-time highs (meaning that there is no one who is looking to breakeven and sell after sitting on losses).

Finally, the valuation seems reasonable to me. Looking at the earnings forecast for next financial year, the price-to-earnings (P/E) ratio is only 23.

What’s my strategy?

Now, there are risks here, of course. One is a slowdown in AI spending.

It’s worth noting that a lot of Broadcom’s revenues are coming from a handful of companies. If one of these businesses were to pull back on orders, the growth forecasts mentioned above could be obsolete.

Another risk is profit taking. Given that the stock is up about 90% over the last year (and 10% over the last month), there is always the chance of some profit taking.

I’m taking a five-year view here though (our preferred time horizon at The Twelfth Magpie). And over that timeframe, I see the potential for strong returns.

The post I just bought this powerhouse AI stock for my ISA appeared first on The Twelfth Magpie.

Interested in seeing some of the stocks on my list? Here are three.

A tech stock I already own

When the stock market slumps, the best shares to buy are often the ones an investor already owns. If you know a company well and you’re optimistic about its long-term prospects, why not buy some more shares at a lower price?

This brings me to Nvidia (NASDAQ: NVDA). I’m already a holder of this stock. But I’d love to buy some more shares at a lower price. If the share price fell to, say, $150 I’d be a buyer again.

I’m pretty confident that this company has a lot of growth ahead of it. After all, the AI revolution is just getting started and Nvidia’s chips are going to be essential for technologies like robotics and self-driving cars.

Of course, there’s some competition emerging in the AI chip space now. So, this is a risk to monitor.

Personally, however, I reckon Nvidia will still be able to sell every chip it can manufacture in the years ahead. My view is that in the long run, its share price is going higher.

Nvidia’s main competition

Zooming in on Nvidia’s competition, one company that’s really gaining traction is Broadcom (NASDAQ: AVGO). It makes custom AI chips for large cloud companies (hyperscalers).

This company has been having a lot of success recently, landing chip deals with the likes of Alphabet and OpenAI. As a result, I’m keen to get the stock into my portfolio.

I’m annoyed with myself for not buying the stock years ago. It has been on my watchlist for ages but I’ve never bought it.

Right now, Broadcom stock looks a little expensive. Near $390, the price-to-earnings (P/E) ratio is around 40.

My target price is $300. That’s where I’d be a buyer.

There are risks around customer concentration. But I think this tech company will do well in the long term.

A low-profile AI stock

Finally, Vertiv (NYSE: VRT) is high up on my list. It’s the global leader in data centre cooling systems.

It’s had a lot of success in recent years on the back of the AI build-out. But realistically, the growth story is probably just getting started as over the next decade, a ton of data centres are likely to be built.

At today’s share price of $185, the P/E ratio here is 35 using next year’s earnings forecast. That’s not actually too bad given the company’s growth rate (revenue is expected to rise 28% this year).

But ideally I’d like to pay a lower multiple to reduce my risk. I’d like to buy in around $150 – that would put the P/E ratio under 30.

New data centre cooling technologies are a risk here. There’s no guarantee that in the long run, hyperscalers will continue to use Vertiv’s systems.

This company has some impressive technology, however. And with a razor-sharp leadership team, I believe it will continue to have success.

The post My stock market crash list: 3 shares I’m desperate to buy appeared first on The Twelfth Magpie.

Recently, however, investors have been shifting their focus to another AI chip stock and that’s Broadcom (NASDAQ: AVGO). Could this be the next Nvidia?

Incredible AI growth

Recent news from Broadcom – which makes custom AI chips (it calls these ‘XPUs’) for large technology businesses – has certainly been exciting.

Earlier this month, the company told investors that it had just signed a fourth customer for its custom chips. This is believed to be ChatGPT owner OpenAI (the other three are believed to be Google, Bytedance, and Meta Platforms).

This new customer has recently put in $10bn worth of AI chip orders. As a result, Broadcom is expecting huge revenue growth in the near term.

This quarter, it expects AI chip revenue to be $6.2bn, 19% higher than last quarter. Next financial year (starting November), it expects AI chip revenue to climb by more than 60%.

These are incredible numbers. And it’s a little reminiscent of Nvidia a few years ago.

Has the horse already bolted?

Looking at the set-up, however, I’m not expecting Broadcom stock to multi-bag in the same way that Nvidia has in recent years, however. There are three reasons why.

The first is that the stock has already shot up spectacularly. Over the last three years, it has risen from around $50 to $360 – a gain of about 620%.

The second is that Broadcom is now a large company. Today, it has a market cap of $1.7trn, making it the eighth-largest company in the S&P 500 index.

Note that when Nvidia started to really motor back in early 2023, it was a much smaller company. Back then, it had a market cap of less than $400bn.

The third is that the company’s valuation now looks quite high. With Wall Street analysts expecting earnings per share of $9.06 next financial year, the price-to-earnings (P/E) ratio is about 40.

That’s not an outrageous earnings multiple. But I don’t think it leaves a lot of room for a significant upward re-rating.

Put all this together, and I don’t think Broadcom is likely to suddenly double or triple in the near term.

Broadcom vs Nvidia

Of course, it could still perform well. If spending from existing XPU customers increases and/or the company manages to land more customers for its custom AI chips, we could see revenue and earnings soar.

It’s worth noting that on the recent earnings call, CEO Hock Tan said that in the future, XPU share at its major customers could be bigger than GPU share. In other words, the demand for custom AI chips could outstrip the demand for general-purpose chips designed by the likes of Nvidia.

To my mind, however, Nvidia is actually the better stock to consider buying right now. It trades at a lower valuation (its forward looking P/E ratio is only 28) and it has less customer concentration risk than Broadcom.

The post Up 55% this year, is AI stock Broadcom the next Nvidia? appeared first on The Twelfth Magpie.

Broadcom now has four large AI customers

Starting with Broadcom, it delivered some incredible guidance recently. Thanks to high demand for its custom AI chips (XPUs), it now expects AI revenues to be up more than 60% next financial year (starting November).

It now has four major customers for its XPUs. These are believed to be Google, Meta Platforms, Bytedance, and OpenAI.

Taking a long-term view, I think this company’s revenues and earnings could rise materially from here. Not only could it sign more customers for its XPUs but it could see increased spending from the existing four.

It’s worth noting that on the recent earnings call, CEO Hock Tan said that he expects spending on XPUs by his customers to eventually exceed spending on GPUs made by the likes of Nvidia. That’s exciting.

Looking at the share price and valuation however, I’m not in a rush to buy the stock at current levels. Recently, the share price has gone a little exponential, and that turns me off.

As for the valuation, the forward-looking price-to-earnings (P/E) ratio’s about 40. That’s not outrageous but it doesn’t leave any room for a setback (eg a slowdown in AI spending from customers or the loss of a major customer).

Note that the average price target is $360, slightly below where the share price is now.

Given this set-up, I’m going to keep the stock on my watchlist for now. If it was to pull back by 20% or so, I could be tempted to have a nibble.

Oracle is seeing huge demand

Turning to Oracle, which runs data centres powered by Nvidia GPUs, it’s quite a similar set-up. Recent guidance was incredible.

For the current financial year (ending 31 May), Oracle now expects $18bn in Cloud Infrastructure revenue, 77% higher than the figure last year. Looking further out, it expects revenue of $32bn, $73bn, $114bn, and $144bn over the subsequent four years.

Remaining performance obligations (RPO) – a measure of contracted revenue that hasn’t yet been recognised – soared to $455bn, up 359% from a year earlier. These are phenomenal growth projections.

I think buying the stock for my portfolio here could be a little risky however. Recently, the share price has gone vertical.

Meanwhile, the valuation’s now quite high – currently the forward-looking P/E ratio is 44. Again, that doesn’t leave any room for a slowdown in AI spending.

Now, it’s worth pointing out that a lot of Wall Street analysts do believe that the stock can go higher. Since the recent results, many have raised their price targets to $400, which is around 33% above the current share price.

I’d rather buy at a lower valuation however. So for now, I’m going to keep the stock on my watchlist and focus on other opportunities.

The post Is it too late to buy AI winners Broadcom and Oracle for my Stocks and Shares ISA? appeared first on The Twelfth Magpie.

Is this one I should buy for my Stocks and Shares ISA? Let’s take a look at the numbers.

A chip and networking powerhouse

Before we get into the financials, it’s worth providing a bit of background information on this business. Because it’s not as well known as Nvidia and other popular AI stocks.

A $1.6trn market cap technology business, Broadcom operates in two main areas. These are semiconductor solutions and infrastructure software.

In the semiconductor solutions segment, it makes chips for a range of industries. Where it’s having success right now, however, is custom AI chips (XPUs) for large technology companies.

Currently, it has four customers paying (a lot) for these custom chips. We don’t know who the most recent customer is (it may be OpenAI) but the others are believed to be Alphabet, Meta, and Bytedance.

The infrastructure software segment focuses on providing solutions for managing complex IT environments. This area of the business has grown significantly through acquisitions, including that of VMware, which was recently bought for around $70bn.

Strong momentum

Now, this company has significant momentum at the moment. Last week, it posted its earnings for the third quarter of fiscal 2025 and the numbers were impressive.

For the quarter, revenue was $15.95bn while net income was $8.4bn. These figures were up 22% and 37% year on year, respectively.

Zooming in on AI revenue, this was up 63% to $5.2bn. So clearly, the company is seeing high demand for its custom AI chips.

Looking ahead, management advised that it expects AI revenue to climb to $6.2bn this quarter. Meanwhile, next fiscal year, it expects it to grow by more than 60% thanks to high levels of spending by the four customers.

It’s worth pointing out that on the earnings call, CEO Hock Tan said he believes that in the future, XPU share at its large AI customers could be bigger than GPU share. In other words, the demand for custom chips may eventually outstrip the demand for general-purpose AI GPUs designed by the likes of Nvidia and AMD.

Note that after the earnings, a ton of analysts hiked their price targets for the stock. Loads of them have gone to $400, which is nearly 20% above the current share price.

High valuation

So, this is all very exciting. But what about the valuation?

Well I’d expect the earnings forecast to rise in the weeks ahead on the back of the company’s strong earnings and guidance. But right now, analysts expect earnings per share of $8.73 next financial year (beginning November).

That puts the stock on a forward-looking price-to-earnings (P/E) ratio of 38. That’s quite a high valuation (for reference, Nvidia trades at 26).

It’s not insanely high. But there’s some customer concentration risk here and if one of Broadcom’s customers decided to pull back on spending and earnings are disappointing, the stock could underperform given its high multiple.

My move now

Given the high valuation, I’m going to keep this stock on my watchlist for now.

I’m keen to get it into my portfolio at some stage as it’s clearly a major player in AI. I think I’ll have better buying opportunities in the months ahead, however.

The post AI stock Broadcom is smashing Nvidia. Should I buy it for my Stocks and Shares ISA? appeared first on The Twelfth Magpie.

A clear theme in expectations

Let’s start with the numbers. The most optimistic forecast comes from Oppenheimer, with the team targeting a year-end S&P 500 level of 7,100 points. If this was correct, it would be almost a 20% rally from the current price.

Most of the major US banks are bunched around the 6,500 mark, with this the forecast for Citi, JP Morgan, Goldman Sachs and Morgan Stanley. This still represents just under a 10% gain from the latest closing price.

Bank of America has a rather ominous figure of 6,666 points written. I’ll leave that for everyone to make up their own minds on what that could indicate for the events of the coming year!

None of the major contributors from the data I have are predicting the S&P 500 to fall. The lowest target for 2025 is 6,000 points from Cantor Fitzgerald.

As a disclaimer, these forecasts from the major banks and brokers are subjective. They’re based on research, of course, but ultimately there’s nothing to say for certain the index will hit any of the targets set by these predictions.

Helping to drive the rally

It’s really interesting to consider that Wall Street expects further gains from the US stock market. The index will be driven by key sectors. Many expect that artificial intelligence (AI) can support a continued rally, as more widespread adoption helps to improve profitability.

One company that could help to lead this charge and may be worth further research is Broadcom (NASDAQ:AVGO). The firm’s in the S&P 500 and rocketed 121% higher over the past year. A good portion of this jump came towards the end of the year, as investors started to think it could be a viable chip-making alternative to the expensive ones from Nvidia.

More specifically, it could do well in 2025 as it specialises in making more bespoke custom chips. These Application-Specific Integrated Circuits (ASICs) are much more customisable than some of the Nvidia choices. This works well for companies with specific AI needs that are looking to invest here for 2025 onwards.

Of course, competition in this space is huge and will only continue to ramp up as other players try to take market share away from Nvidia.

A final point

Investors should be aware that the price-to-earnings ratio for the S&P 500’s 27.45, which is almost double the FTSE 100 by comparison. Yet even if something’s perceived to be expensive, it doesn’t mean that it can’t become more expensive, as the forecasts for this year indicate!

The post A 19.5% gain? Here are the S&P 500 forecasts from Wall Street for 2025 appeared first on The Twelfth Magpie.