The Nasdaq Composite index continues to break records as it surged to a new all-time high in early July. Despite a recent dip from its peak, investors are questioning whether the rally has reached its limits. However, analysts on Wall Street remain optimistic about the future prospects of the Nasdaq, believing there is still room for growth ahead.
Analysts like Marios Hadjikyriacos from XM Investments and Mark Haefele from UBS have highlighted the positive factors influencing the stock markets, including a resilient U.S. economy and the potential for Fed rate cuts. They argue that these factors help justify the current valuations in the market. Amidst these discussions, there are two Nasdaq stocks that stand out as having significant upside potential according to select Wall Street analysts.
- Nvidia: Implied upside 83%
- Nvidia, a semiconductor specialist leading in artificial intelligence (AI) technology, has seen substantial growth due to its innovation in GPUs for video games, data centers, and AI applications.
- Despite impressive gains in revenue and EPS, Nvidia’s stock still has the support of Wall Street analysts, with some predicting an 83% upside potential.
- The company’s product pipeline and growth trajectory are expected to drive further value and market share, making it an attractive investment opportunity.
- Mobileye: Implied upside of 226%
- Mobileye Global, a pioneer in advanced driver-assistance systems (ADAS), holds a significant market share in this sector.
- The company’s focus on autonomous vehicle technology positions it well for future growth opportunities, despite recent declines in revenue.
- Analysts like Citi’s Itay Michaeli see the current challenges as temporary, maintaining a buy rating on Mobileye stock with a potential 226% upside.
- At just 7 times forward sales, Mobileye is considered attractively priced, presenting a compelling investment case for those looking for long-term growth potential.
Both Nvidia and Mobileye showcase strong fundamentals and growth prospects that have caught the attention of Wall Street analysts. While some investors may have concerns about valuations and market volatility, the long-term outlook for these companies remains positive. Investing in these Nasdaq stocks could lead to significant returns in the future.
In conclusion, opportunities for growth still exist in the current market environment, and careful consideration of promising stocks like Nvidia and Mobileye could yield substantial returns for investors in the long run. Stay informed, analyze the market trends, and consider these potential investment opportunities as part of your portfolio strategy.
