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AI Stocks Rebounded Tuesday—But There's Some Wariness Out There About What's Next

1. Nvidia shares rebounded 9% after a previous sell-off, indicating market recovery. 2. Fears arose from DeepSeek's AI app overtaking U.S. counterparts, sparking competitiveness concerns. 3. Analysts view Monday's drop as overblown, suggesting a buying opportunity for investors. 4. Morgan Stanley warns of potential spending cuts and export controls affecting AI stocks. 5. Price targets for Nvidia and Broadcom were lowered, reflecting cautious market sentiment.

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FAQ

Why Neutral?

Despite the rebound, lowered price targets indicate cautious sentiment on NVDA's future.

How important is it?

The article highlights competitive pressures and market adjustments directly affecting NVDA's valuation.

Why Short Term?

Recent market fluctuations suggest immediate investor reactions rather than long-term implications.

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