2 Technical stocks with more potential than any cryptocurnence

The Kruptocurrenci market has temporarily received after the election winner of President Donald Trump, because some investors have hoped that its inflammation of the crypto promotion and completely promoting certain coins would reach many digital tokens.

But the threat of tariffs, fears of potential recession and increasing pessimism of some investors made many cryptos drop in the last few months. While technical stocks suffered the same fate, I think the long-term potential is in Stock is higher and based on cases of concrete use.

Here are two technological actions that could end up before the crypt’s gains in the coming years.

Image source: Getty Images.

1. Taiwanese semiconductor production

Taiwan Semiconductor Manufacture (TSM -5,36%) is the largest production company for the production of semiconductors in the world and has already had extremely increasing demand chip from artificial intelligence. In addition to its general dominance of chip production, it also provides for 90% of the world and processors.

Financial results from Taiwanese semiconductor lead for the production of chips are phenomenal. The sale of the company spread 37% in the fourth quarter (completed 31. December) to $ 26.9 billion and diluted earnings per share was growing 57% to $ 2.24 per share American Depository Report.

There was a lot of conversations about AI Stocks Lately falls, but it is too early to call artificial intelligence flourishing. Technical companies are large and small in the AI ​​software and services and which will encourage the sale of advanced semiconductors for years.

Taiwan Semiconductor certainly thinks, with the entire CC Wei who says on recent earnings, “even after more than three times 2024. Years, forecasting our revenues from AI accelerators to double the 2025. Years as a strong increase in search of aI.”

With Taiwan Semiconductor’s Stock 15% after recent sales technology, the company’s shares are traded in a relative discount with a Price for earnings Relationship 24.1, down with P / E of 30 just six months ago.

2 Nvidia

Nvidia‘s (NVDA -6.08%) The long-term potential is in the same vein such as Taiwan Semiconductor. Although Nvidia does not produce semiconductors, its chip design some of the most modern AI processors on the market.

Techniques companies swore to get hands Nvidia Processors in the last few years, resulting in company accelerators that make up 95% of all AI chips around the world. Demand has increased Nvidiju sales and earnings, including 78% sales jump in the fourth quarter to $ 39.3 billion and diluted EPS growth of 82% to $ 0.89.

But Nvidia does not work from all these AI demands. Management said that based on the fourth quarter that demand for their Blackwell and the processors of the “fastest product ramp in the history of our company”, only in one quarter “in one quarter” in one quarter.

An increasing debate is set about how the spending of the rapid center for quickly processed (or not) in the coming years. A significant slowdown in technological companies that buy advanced processors would surely injure Nvidiju sales and earnings. But investors look mainly concerned about macroeconomic effects currently, such as recession and transmit these concerns of the technological sector.

Although economic slowdown would affect technical companies, too focusing on it and forgetting that we are still at the beginning of the phase and the error is a mistake. PVC estimates AI could add $ 15.7 trillion GDP in Global GDP at 2030. years and technological companies will need more advanced processors to achieve their AI goals.

This means that Nvidia still has a huge opportunity in the coming years, even if temporary slowdowns are temporarily slow down. It also means that current concerns could blog the investor’s view on the long-term Nvidia potential.

Tech is tangible from CRIPTO

I think there are some legitimate reasons for investors own cryptocurrencyBut Taiwan Semiconductor and Nvidia offer investors many grounded investments because these two leading technological companies help build ai the future.

Of course, nothing is guaranteed. But while many cryptocurries remain very speculative, artificial intelligence has already been well established and technological companies continue to build their companies around it for years to come.