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1 Data Center Stock to Buy on the DeepSeek Dip (Hint: It's Not Nvidia)


Published on 2025-02-06 04:41:09 - MSN
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  • DeepSeek built a competing large language model (LLM) to OpenAI's ChatGPT, but claims that it trained the model with old Nvidia processors that aren't widely used anymore. This news has shellshocked technologists and analysts across Wall Street because if DeepSeek's methods of building highly capable AI can be done using legacy hardware,

The article from MSN Money discusses the investment potential in data center stocks, particularly focusing on a company other than Nvidia, which has been a popular choice due to its AI and GPU advancements. The article highlights Equinix (EQIX) as a strong alternative. Equinix, a global data center REIT, benefits from the increasing demand for data storage and processing capabilities driven by cloud computing, AI, and IoT. Despite a recent dip in its stock price, Equinix is seen as a buy due to its robust business model, which includes long-term leases with major tech companies, providing stable revenue. The article suggests that while Nvidia's stock has surged due to AI hype, Equinix offers a more diversified exposure to the data center market with less volatility, making it an attractive option for investors looking to capitalize on the data center boom without the high valuation risks associated with Nvidia.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/money/savingandinvesting/1-data-center-stock-to-buy-on-the-deepseek-dip-hint-it-s-not-nvidia/ar-AA1yvFOy ]