Best Chip Stock To Buy

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Best Chip Stock To Buy

The Best Chip Stock To Buy And Hold

The best chip stock you can buy and hold for the next 10 years is Nvidia (NVDA). Despite trading at a high price, the overall valuation of Nvidia is still very attractive.

In 2025, the share price of Nvidia increased by 38.8%, which is quite good. Looking ahead, the next few years will be really well for Nvidia as AI spending is still in its full bloom.

NVIDIA's Forward P/E Is 24

Also, the forward P/E ratio of Nvidia is only 24, which is very good. But the most important factor to consider is that Nvidia continues to enjoy strong growth. So, the higher share price isn't just hype but based on fundamental data.

According to Nvidia's CEO, the AI sector is just warming up, and around $10 trillion will be spent on building the AI infrastructure.

NVIDIA is also ready to capitalize on this and continues to stay ahead of its competitors. The company has also launched its Rubin AI platform, which comes with 6 different chips. As per the reports, this platform will deliver next-level computing performance.

One key feature of Rubin is that it will lower the costs for data centers that run large AI workloads. This will also solve the notion that chips made by Nvidia are expensive.

Right now, around 53% of the revenue earned by the company is converted into profit. But the new Rubin project clearly shows that Nvidia is working to lower the cost of the chips.

So, Nvidia isn't just talking when it says that it is staying ahead of the competition. The company is also at the forefront of innovation and continues to launch new and powerful chips.

Those who want exposure to the AI and want to reap the benefits of higher AI infrastructure spending, Nvidia stock is the best option. In fact, the Nvidia stock price looks very attractive when we look at its future earnings potential.

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