Amid Market Turmoil, Wall Street Recommends Two AI Stocks to Buy Now

The U.S. stock market is experiencing a significant sell-off, primarily driven by economic uncertainties stemming from President Trump's trade policies. Despite the downturn, Wall Street analysts are optimistic about two AI stocks: Nvidia and Amazon, both of which are seen as strong investment opportunities in the current climate.

Key Takeaways

• The S&P 500 is down 14%, while the Nasdaq Composite has dropped 19%.

• Nvidia and Amazon are highly rated by analysts, with strong buy recommendations.

• Nvidia holds a dominant position in the AI accelerator market.

• Amazon is leveraging AI across its e-commerce and cloud services.

Current Market Overview

The stock market has faced a sharp decline in 2025, with the S&P 500 and Nasdaq Composite both experiencing significant losses. The economic landscape is uncertain, prompting investors to seek refuge in stocks that show resilience and growth potential. Nvidia and Amazon have emerged as top picks among analysts, with both companies demonstrating strong fundamentals and growth prospects.

Nvidia: A Leader in AI Technology

Nvidia is renowned for its advanced computing capabilities, particularly in the realm of artificial intelligence. Here are some key points about Nvidia:

1. Market Dominance: Nvidia commands an impressive 84% market share in AI accelerators, making it a critical player in the AI economy.

2. Growth Potential: Analysts predict that Nvidia's earnings will grow at an annual rate of 38% through fiscal 2027, indicating robust future performance.

3. Current Valuation: With shares currently trading at $101, analysts have set a target price of $170, suggesting a potential upside of 70%.

4. Challenges Ahead: Despite its strengths, Nvidia faces challenges due to new export controls imposed by the Trump administration, which could impact revenue significantly.

Amazon: The E-Commerce and Cloud Giant

Amazon is not just a retail powerhouse; it is also a significant player in the AI space. Here’s what makes Amazon a compelling investment:

1. Diverse Revenue Streams: Amazon's growth is driven by its e-commerce platform, digital advertising, and cloud services, with AI playing a crucial role in enhancing these areas.

2. AI Innovations: The company is developing approximately 1,000 generative AI applications aimed at improving efficiency and driving revenue growth.

3. Strong Market Position: Amazon Web Services (AWS) is the leading public cloud provider, and its AI capabilities are expected to bolster its market share further.

4. Investment Opportunity: Currently trading at $173, Amazon's stock has a target price of $255, indicating a potential upside of 47%.

Conclusion

While the stock market faces significant headwinds, Nvidia and Amazon stand out as two AI stocks that investors should consider buying. Both companies are well-positioned to capitalize on the growing demand for AI technologies, making them attractive options for long-term growth. As the market navigates through uncertainty, these stocks could provide a solid foundation for a resilient investment portfolio.