# Nvidia, TSMC, Nebius, Micron top picks for AI‑driven buying

**Published:** 2026-08-02T08:16:00.476Z  
**Topic:** Stock Market  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/f1d196c9-9018-4fcf-bd12-9c62cc0eb574

Nvidia at 21.9× forward earnings, TSMC 23.8×, Nebius 540% 2026 revenue growth, Micron down 25% from peak – see why these AI‑linked stocks are highlighted now.

Nvidia trades at a forward price‑to‑earnings multiple of 21.9, while Taiwan Semiconductor sits at 23.8, both well below the growth they are poised to capture from AI‑related spending, according to The Motley Fool’s July 31 commentary【1】.  

| At a glance | |
|---|---|
| Nvidia forward P/E | 21.9× |
| TSMC forward P/E | 23.8× |
| Micron price change | –25% from all‑time high |
| Nebius projected 2026 revenue growth | 540% |

## Valuation backdrop  

The article notes that Nvidia’s forward earnings multiple of 21.9 is “rock‑bottom” given its role in AI hyperscaler data‑center spending, which the firm expects to exceed $1 trillion next year【1】. By contrast, the forward multiple for the next year is about 15×, underscoring a perceived discount to future growth. Taiwan Semiconductor’s 23.8× forward multiple is similarly highlighted as attractive for a company that supplies chips to virtually every major AI player【1】.  

## Growth expectations and market positioning  

Nebius (NBIS) is presented as a high‑growth story, with Wall Street analysts forecasting a 540% revenue surge in 2026 and an additional 238% increase the following year【1】. The piece suggests that despite a recent pullback tied to potential Meta spending cuts, the company’s “neocloud” capacity can be redirected to other clients, preserving its upside.  

Micron (MU) is described as a value play after a 25% decline from its recent peak, driven by a lingering memory‑chip shortage that management expects to persist beyond 2027【1】. The shortage is expected to keep prices elevated, supporting revenue growth over the next several years.  

## What to watch  

- AI‑related data‑center spending forecasts for the next year, especially any updates to the $1 trillion estimate.  
- Chip demand outlook from TSMC’s leadership, which projects elevated demand through 2029‑2030.  
- Quarterly earnings releases from Nebius and Micron to gauge whether revenue growth and pricing pressures materialize as projected.  

These four stocks are positioned as “on sale” amid AI sector skepticism, with forward multiples and growth forecasts suggesting upside potential if the broader AI spending trajectory holds. The real test will be whether earnings and market dynamics align with the aggressive growth assumptions outlined.

## Sources
1. The Motley Fool — [Here Are My 4 Favorite Stocks to Buy in the Market | The Motley Fool](https://www.fool.com/investing/2026/07/31/here-are-my-4-favorite-stocks-to-buy-in-the-market/)
2. The Motley Fool · via AOL — [Here Are My 4 Favorite Stocks to Buy in the Market](https://www.aol.com/articles/4-favorite-stocks-buy-market-132000358.html)

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Cite as: TrendWatcher, "Nvidia, TSMC, Nebius, Micron top picks for AI‑driven buying", https://www.trendwatcher.in/article/f1d196c9-9018-4fcf-bd12-9c62cc0eb574