With Nvidia’s unbeatable Q4 FY2025 results, which saw a 78% annual revenue increase, the situation reminds of California Golden Rush. Along with this, the company’s Blackwell chips sale encourages investors to invest in the fastest-selling product company. However, the recent drop in Nvidia’s stock to 35% after Trump’s newly imposed tariffs, it is a difficult decision to make.
Nvidia’s Future Forcast
From an investor’s point of view, the company’s future is more important than its current situation. The potential growth and revenue of a company is the decision factor. Considering Trump’s uncertain trade policies and the escalating US-China trade war, investors may think twice before investing in Nvidia. Moreover, Trump’s tariffs have huge implications for the tech industry, from hardware to semiconductors. Therefore, investors may opt for a trenching strategy until the market and policies are stabilized.
Trenching Strategy in Stocks
Although Nvidia performed exceptionally well in the past few years, the future of US stock market is gloomy overall. Until Trump finalizes trade policy for upcoming years, investors could opt for a tranching strategy. In this strategy, investors could reduce the risk of buying before a steep decline and gain the advantage of averaging the entry price with time.
Nvidia Worth Investing
Unless the US face an overall recession, Nvidia is likely a worth investing company. It has a commendable past and a bright future with AI technology. As the future is predicted to be dominated by AI, Nvidia will surely have a large share.
