Nvidia stock has been one of the biggest winners of the artificial intelligence (AI) revolution in the past couple of years, clocking remarkable gains of nearly 800% over the past two years on account of the red-hot demand for its data center graphics cards, but the past three months have been difficult for the chipmaker.

Among investment opportunities in the artificial intelligence (AI) realm, semiconductor stocks have become a top choice. Nvidia has been the most popular among chip stocks over the last two years, and for good reason.

The semiconductor industry has received a major shot in the arm from the rapid advancement of artificial intelligence (AI) technology: The size of the semiconductor market jumped by an estimated 19% last year to $630 billion,

So, how can Nvidia's stock soar 67% in 2025? Simple. It does what it's expected to and gives a solid outlook for next year. Right now, Nvidia trades for 52 times trailing earnings, which is near the cheapest level it has traded at over the past two years.