Prediction: ASML Will Beat the Market. Here's Why.
It's only February, but it's already been a wild year for semiconductor stocks.The launch of a new chatbot from Chinese AI start-up DeepSeek led to the biggest single-day loss ever in value for the chip sector. DeepSeek claimed to have spent just $5.5 million to train its model and used more efficient architecture to generate results that were similar to state-of-the-art "frontier models" from the likes of OpenAI, Alphabet, and others.Since then, investor nervousness has settled down as big tech companies have reaffirmed their commitment to spending on capital expenditures to drive progress in artificial intelligence. All of the big cloud infrastructure companies and Meta Platforms pledged to increase spending on capex, which should drive more revenue toward Nvidia and the rest of the semiconductor sector.Continue reading
It's only February, but it's already been a wild year for semiconductor stocks.
The launch of a new chatbot from Chinese AI start-up DeepSeek led to the biggest single-day loss ever in value for the chip sector. DeepSeek claimed to have spent just $5.5 million to train its model and used more efficient architecture to generate results that were similar to state-of-the-art "frontier models" from the likes of OpenAI, Alphabet, and others.
Since then, investor nervousness has settled down as big tech companies have reaffirmed their commitment to spending on capital expenditures to drive progress in artificial intelligence. All of the big cloud infrastructure companies and Meta Platforms pledged to increase spending on capex, which should drive more revenue toward Nvidia and the rest of the semiconductor sector.
