Better Artificial Intelligence (AI) Stock: Nvidia vs. Broadcom

Both Nvidia (NASDAQ: NVDA) and Broadcom (NASDAQ: AVGO) have been big beneficiaries of the huge investments in artificial intelligence (AI) hardware, which explains why the share prices of both companies shot up impressively over the past couple of years.While Nvidia stock jumped more than 280% in the past two years, Broadcom recorded healthy gains of 160% during the same period. However, both AI stocks witnessed a substantial pullback in 2025 despite reporting solid growth in revenue and earnings. Nvidia stock retreated close to 18% this year, while Broadcom has recorded a sharper drop of almost 28%.The decline in their share prices can be attributed to the negative stock market sentiment this year arising out of the economic uncertainty created by the tariff-induced trade war. The probability of a U.S. recession has also been going up of late, which explains why investors are becoming risk-averse and are booking profits in stocks that have performed strongly in recent years.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool