AI stocks are likely to be in a bubble, but there are still some stocks in the sector that are suitable for long-term investments, Anthony Scaramucci, founder of SkyBridge Capital, said.
Scaramucci stated that despite the bubble, investors should pay close attention to AI stocks he deemed to be high quality, such as Nvidia. He added that while the company stock might be overpriced at the moment, it was a good choice for long-term investment. “If you own it for the next 15 years, you’ll probably be OK,” he told Bloomberg.
Shares of Nvidia have jumped by 179% in 2023 as investors bet on the company’s rapid growth thanks to the ongoing AI boom. According to Bloomberg, Nvidia stock is currently trading at 53 times analysts’ estimates of adjusted earnings for the current fiscal year.
Anthony Scaramucci compared making such investments to holding Amazon stock. The analyst, who has had the online retail giant’s shares in his portfolio for the past 25 years, called it a “wonderful investment.”
