The Zacks Analyst Blog Apple, NVIDIA, Advanced Micro Devices, Amazon.com and Alphabet

For Immediate Releases

Chicago, IL – April 15, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Apple Inc AAPL, NVIDIA Corporation NVDA, Advanced Micro Devices, Inc.’s AMD, Amazon.com, Inc. AMZN and Alphabet Inc. GOOGL.

Here are highlights from Tuesday’s Analyst Blog:

With new tariffs being imposed by President Donald Trump on Chinese goods at the beginning of April, Apple Inc and NVIDIA Corporation saw their stocks decline. However, the latest tariff relief has been a blessing in disguise for these tech behemoths, helping them prevent higher import costs and product price rises. This has prompted speculation on which stock to invest in. Let’s explore –  

Apple Stock Remains Risky Bet, Even With Tariff Exemptions 

President Trump’s steep tariffs on goods produced and imported from China could have disrupted Apple’s supply chains as severely as during the COVID-19 pandemic. However, Apple breathed a sigh of relief after the Trump administration exempted electronic devices like smartphones and computers from reciprocal tariffs.  

Before the tariff exemption, Apple planned to increase iPhone production in India, which is subject to lower levies, while also securing its supply chain. Apple intends to produce over 30 million iPhones in India, satisfying a significant portion of American demand, which constitutes a third of global demand.

However, Apple is manufacturing its upcoming iPhone 17 in China, which will be launched soon. Shifting the production base to India or another location in a short time will require a herculean effort. It may also lead to retaliation from China, which has set up inquiries into U.S. companies and may create difficulties for Apple through its customs processes.  

A complete breakup from China would be improbable as Apple produces the bulk of its iPhones in China, and there is a dearth of required skills to manufacture iPhones in the United States at the moment. Instead, Apple argued that the United States should boost semiconductor production and revive high-value job opportunities.  

However, the tariff relief is temporary, and if no breakthrough occurs soon, it may impact Apple’s near-term profitability. President Trump said that relying on China for vital tech goods like smartphones and semiconductors isn’t acceptable. If tariffs are imposed, iPhone prices will rise, impacting American consumers and Apple’s sales volume. Anyhow, some tariffs still apply to goods imported from China and there may be sectoral tariffs on goods that have semiconductors, which can further affect Apple’s stagnating revenues. 

Given the supply-chain risks, stagnant revenues and tariff uncertainties, Apple isn’t a favorable stock choice currently. Moreover, according to the price/earnings (P/E) ratio, Apple stock trades at 27.4X forward earnings. In comparison, the Computer - Micro Computers industry’s forward earnings multiple is 26.05. The Apple stock, therefore, is overvalued and may plummet if tariff issues remain unresolved.

Here’s Why NVIDIA Is the Better Stock to Buy Now 

Like Apple, NVIDIA too got a momentary relief from Trump’s tariffs. This is because certain critical chips used by NVIDIA and produced in China were exempted. Now, there is a 90-day pause in tariffs, but the outcome depends on how the negotiations between the United States and its trade partners unfold. So, an element of ambiguity persists.  

However, NVIDIA remains the preferred stock to buy during these times of distress. With graphic processing units (GPUs) continuing to gain popularity at a breakneck speed and artificial intelligence (AI) infrastructure spending increasing, NVIDIA’s long-term future looks brighter. Lest we forget, Apple faces tough competition across all segments, economic challenges, and regulatory hazards, affecting its long-term outlook.  

Coming back to NVIDIA, the company is experiencing high demand for new Blackwell and older Hopper chips because of their superior AI interfaces compared to competitors. The company’s CUDA software platform is in more demand among developers than Advanced Micro Devices, Inc.’s ROCm software platform. Major cloud computing companies like Amazon.com, Inc. and Alphabet Inc.  are also spending billions of dollars on AI data center infrastructure, which could benefit NVIDIA (read more: Which AI Stock, NVIDIA or Broadcom, Is the Better Bargain to Buy?). 

NVIDIA stock is currently more affordable than its competitors, with a forward P/E ratio of 25.18 compared to the Semiconductor - General industry’s 28.4X forward earnings multiple. This leads to NVIDIA having a Zacks Rank #2 (Buy) at present, whereas Apple has a Zacks Rank #4 (Sell). 

You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.

Why Haven't You Looked at Zacks' Top Stocks?

Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.

Today you can access their live picks without cost or obligation.

See Stocks Free >>

Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Previewreports. If you want an email notification each time Sheraz publishes a new article, please click here>>>

Media Contact

Zacks Investment Research

800-767-3771 ext. 9339

[email protected]                                     

https://www.zacks.com                                                

Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance  for information about the performance numbers displayed in this press release.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research