A chip stock hedge if the AI trend cools off a bit following Nvidia's earnings

Nvidia's earnings release is front and center this week as the beloved chipmaker should determine the short-term direction of U.S. equities. Led by the $2.3 trillion behemoth Nvidia , semiconductors have been on fire in 2024 after a dramatic outperformance in 2023. Artificial intelligence is a trendy theme, but I do believe it is due for a breather. I want to implement a hedge using the popular VanEck Semiconductor ETF which has a near 21% weighting to Nvidia.

mountain Nvidia vs. Semi ETF vs. S & P 500, YTD The accelerated demand for AI is not a news flash and it created a parabolic move higher for Nvidia, moving the stock more than 500% higher since January 2023. However, I do have concern about the stock's "over-ownership" and investors who have become conditioned to NVDA's massive earnings beats. Nvidia reports after the bell Wednesday.

Click here for the full disclaimer.

Brasil Últimas Notícias, Brasil Manchetes

Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.

A way to take profits and protect your post-earnings gain in AppleJeff Kilburg wants to take some profits after getting long Apple pre-earnings.
Fonte: CNBC - 🏆 12. / 72 Consulte Mais informação »

A market hedge for traders if you believe this May comeback is a head fakeJeff Kilburg believes that this recent Fed-induced rally will stall and gives an options position to capitalize on it.
Fonte: CNBC - 🏆 12. / 72 Consulte Mais informação »

Thursday's analyst calls: Fast food stock to surge 40%, what to expect from Nvidia earningsA fast food stock and Nvidia were among the stocks being talked about by analysts on Wall Street.
Fonte: CNBC - 🏆 12. / 72 Consulte Mais informação »