Markets put aside worries of a “tech wreck” amid the 2024 Consumer Electronics Show. Nvidia (NVDA) and AMD led the sector higher earlier this week. Both firms are the tech darlings, at least until CES 2024 ends.
Besides AI solutions expanding its market, Nvidia is solidifying its market share in the PC gaming market. It refreshed the highly profitable RTX 40 series with a “Super” version. By asking for a premium price, the company will protect its profit margins.
AMD launched several desktop processors (“CPU”) for its aging AM4 platform. Its commitment to a now eight-year-old architecture will earn customer loyalty.
Motherboard suppliers lose out because consumers need only buy AMD’s CPU chip. To leapfrog Intel (INTC), AMD also launched new chips for the AM5 platform. The 8000G series will give users powerful integrated graphics and artificial intelligence capabilities.
Tesla (TLSA), which leads the electric vehicle market, may lose momentum. Regulators tightened vehicle test rules. This lowers driving-range estimates across Tesla’s vehicles. Without the TSLA stock shine, its peers are even less appealing. Be wary of selling pressure on truck EV supplier Rivian (RIVN). Needless to say, the companies with growing losses will perform worse. Avoid Lucid Motors (LCID) and Fisker (FSR).
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