Nvidia, in contrast, has nearly everything AI investors want. It's profitable, it has plenty of room to grow as AI investments expand, and its shares are relatively well priced with a forward price-to-earnings ratio of 34, compared to the tech-heavy Nasdaq-100 's 26.4. For all of those reasons, Nvidia looks like the far better AI stock right now.

Nvidia climbed 8.8%, with the rally gaining steam throughout the day and closing near session highs. The stock at one point shortly after the open was in the red. That bounce come

Nvidia spoke positively about DeepSeek’s latest AI model, R1, saying it represented “excellent AI advancement.”