As January begins, AI stocks are poised for movement, particularly during the CES event in Las Vegas, which runs from January 6 to 9. Nvidia (NVDA) and Advanced Micro Devices (AMD) are central to investor focus, as both companies anticipate using the platform to lay the groundwork for the next phase of the AI landscape. The semiconductor sector has recently faced challenges, with the PHLX Semiconductor Index dropping nearly 5% between December 10 and 31.
Wedbush Securities highlights Nvidia and AMD as key players likely to make impactful announcements at CES 2026, amidst heightened expectations. Nvidia CEO Jensen Huang plans to discuss advancements in data centers and robotics, while AMD CEO Lisa Su will provide updates on PCs, data centers, and edge AI initiatives. With stretched valuations, the event could play a crucial role in shaping future investor sentiment concerning these companies.
Wedbush analysts expect Nvidia to detail new software initiatives, underscoring its extensive AI capabilities, while AMD will likely introduce significant updates to its Ryzen product lines and AI strategies. Last year, Nvidia showcased its Cosmos platform and introduced new GeForce GPUs, while AMD highlighted its AI-optimized PC offerings.
The stakes for CES 2026 are exceptionally high, as both Nvidia and AMD aim to establish dominance in the AI arena early in the year. While Nvidia seeks to maintain its lead through strategic partnerships and product demonstrations, AMD aims to gain traction in the AI sector by presenting new platforms and capitalizing on market opportunities. Concerns regarding the sustainability of the AI market persist, with critics, including renowned investor Michael Burry, drawing parallels to previous market frenzies.
Why this story matters: The developments at CES 2026 could significantly influence the trajectory of AI stock valuations.
Key takeaway: Nvidia and AMD are gearing up for crucial presentations that will define their direction in the AI market for the year ahead.
Opposing viewpoint: Skepticism about the AI market’s longevity is growing, with critics wary of the current hype surrounding AI stocks.
