Wedbush Issues Bold Call on Beaten-Down Nvidia and Microsoft Stocks - TradingView

Wedbush Securities issued a bullish outlook on NVIDIA and Microsoft stocks, suggesting that recent market pullbacks present attractive long-term investment opportunities. While major technology stocks... Read original →

Wedbush’s bullish stance on NVIDIA and Microsoft reflects a bet that AI infrastructure spending is transitioning from capex to monetization. Technically, surging demand for GPU clusters and custom AI ASICs is accelerating innovation in advanced packaging, high-speed interconnects, and liquid cooling—with TSMC’s (Taiwan, China) CoWoS capacity now a critical bottleneck. Regulatory pressures are mounting: stricter data center energy efficiency rules in the U.S. and EU, coupled with expanded export controls on AI accelerators, are structurally raising operational costs. In response, Google and Amazon will likely double down on in-house TPUs and Trainium chips to reduce reliance on the NVIDIA-Microsoft stack. Over the next 12–24 months, AI capex will persist, but returns will bifurcate—only full-stack leaders will capture enterprise value, forcing fragmented players out of the infrastructure race and driving unprecedented industry consolidation.