These are other AI plays as Nvidia positions itself as 'hub'

Tue, Aug 27, 2024, 1:27 PM

As the semiconductor industry has pushed the market (^DJI, ^IXIC, ^GSPC) to new heights this year, all eyes are on Nvidia's (NVDA) second quarter earnings report, which will be released after Wednesday's market close. Hennion & Walsh CIO Kevin Mahn joins Market Domination to discuss what investors can expect from the chip giant's results and break down the overall state of the semiconductor industry.

Mahn expects Nvidia to. beat earnings and revenue expectations, as well as announce increasing growth in its data center business. He argues, "Nvidia is positioning themselves to be the hub of the AI ecosystem in a similar fashion that Amazon (AMZN) became the hub of the e-commerce ecosystem."

However, he believes that there are other opportunities outside of Nvidia in the AI ecosystem. He points to Digital Realty (DLR) as one, explaining that it has partnered with Blackstone (BX) to build more data centers. He also highlights Modine Manufacturing (MOD) as another opportunity, explaining that they "supply. scalable, efficient, and flexible cooling solutions to data centers."