Nvidia stock has been down over the past few months.
It continues to have a dominant position in AI, and it’s rolling out new products to keep it.
Nvidia is facing competition from a growing number of AI tech companies.
10 stocks we like better than Nvidia ›
Is Nvidia (NASDAQ: NVDA) finally slowing down? The artificial intelligence (AI) giant ended 2025 on a high note, up 39%. However, it’s down about 7% from its highs at the end of October, when it became the first company to hit a $5 trillion market cap.
Can it get back there? And does it still offer value for investors from this level? Let’s see where it could be a year from now.
Nvidia plays a central role in AI development. Its product line, including its various graphics processing units (GPU) and CUDA software, are relied upon by its many high-profile clients like Amazon and Microsoft.
AI is a fast-moving and rapidly changing industry, and Nvidia continues to roll out innovative technology and new products to provide the necessary power for its clients to process data. Data centers are one of its biggest growth drivers today, and it keeps bringing out new graphics processing units (GPU) with more processing power to handle greater data loads. It’s also rolling out many vertically integrated solutions that keep clients within its ecosystem. That protects it to some degree from the onslaught of new competition in the space. As a high-growth industry, there’s no shortage of companies trying to develop more sophisticated AI technology.
That brings us to where Nvidia could be in a year. Considering its dominance and innovation, I don’t envision it slowing down and losing ground just yet. So while new competition could eventually put a dent in its growth, it may take a while to make a big impact. At the same time, it looks like the market is already pricing in these worries into the stock’s cost. As long as the AI market continues to grow, Nvidia is likely to follow suit, albeit at a slower pace than in the past.
Before you buy stock in Nvidia, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $490,703!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,157,689!*
