Last year, stocks related to artificial intelligence (AI) brought significant profits for investors and helped the Nasdaq achieve a double-digit increase. This success has pushed the Nasdaq Composite (NASDAQINDEX: ^IXIC) into a correction phase. Two companies that are expected to continue performing well in the future are Nvidia (NASDAQ: NVDA) and Advanced Micro Devices (NASDAQ: AMD).
The Nasdaq Composite is currently experiencing a correction as investors sell off growth stocks due to worries about tariffs, trade conflicts, and a possible economic slowdown. While it can be stressful to buy stocks during such times, long-term investors may see great rewards from their decisions today. Additionally, companies working in artificial intelligence have a lot of potential to transform various industries.
The recent decline in the stock market might be making some investors nervous. The stocks that have dropped the most in the past few weeks are the same ones that helped boost the market over the last two years: those related to artificial intelligence.
The performance of Advanced Micro Devices (NASDAQ: AMD) stock in 2024 has been quite unexpected. The stock started the year well, increasing by about 40% from January to March, but has since been on a downward trend that it has not been able to recover from.
The 4% decrease in the Nasdaq Composite Index on March 10 was a warning sign for investors. Although it wasn't the largest drop ever, it was the biggest one-day fall since late 2022, which meant that many newer investors had not seen a decline like this before. This situation might make some investors feel anxious and consider selling their investments.
The technology sector is recovering today, causing the Nasdaq Composite Index (IXIC) to rise by over a hundred points, as investors take advantage of lower prices after a long period of selling in the market.
In this video, I'll discuss the latest news about AMD (AMD 1.80%) and explain why selling your shares right now might be a big mistake. Check out the short video for more information, and don't forget to subscribe and click the special offer link below.
In 2024, many investors showed a lot of interest in artificial intelligence (AI) stocks, but this seems to be slowing down in 2025. Currently, Nvidia, a leading chipmaker, has dropped almost 20%, while Broadcom has decreased by 26% since the start of the year. Advanced Micro Devices is facing difficulties too, with a decline of 23%.
After recent meetings with AMD's CEO Lisa Su, JPMorgan analyst Harlan Sur reports that the company feels more assured about achieving over 20% growth in 2025.
The stock market is currently experiencing a sell-off, and the Nasdaq Composite has dropped over 9% from its latest peak. Meanwhile, Advanced Micro Devices (AMD) has seen its stock price fall by 51% from its highest point, a decline that began a year ago.