JPMorgan strategist advises caution on Nvidia investment due to competition and regulatory risks.

JPMorgan strategist Michael Cembalest views Nvidia's financials as strong but advises caution for immediate investment due to competition and regulatory risks. Nvidia holds a dominant market share in AI chips but faces challenges from rivals like AMD and Intel, which are enhancing their offerings. Demand for AI processing remains high, benefiting all chipmakers. Meanwhile, Oracle's Larry Ellison and Tesla's Elon Musk recently sought more GPUs from Nvidia for AI applications.

September 16, 2024
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