Tech Sell-Off Presents Buying Opportunity Amid AI Boom, Says Wedbush’s Dan Ives

Tech stocks have faced recent pressure, with Nvidia, Microsoft, and Alphabet all sliding amid valuation concerns. Wedbush analyst Dan Ives views the dip as a temporary setback rather than a trend reversal, calling it a '1996 moment' for the sector.

The current pullback mirrors the mid-90s tech expansion when markets overheated before the dot-com boom. Ives maintains the AI investment cycle remains in early innings, with adoption accelerating across enterprises. Chipmakers like AMD and Broadcom may see near-term volatility but stand to benefit from long-term AI infrastructure demand.

This correction creates entry points for leaders in cloud computing and semiconductor sectors. The AI capital expenditure wave could sustain the bull market for another 2-3 years, making strategic accumulation prudent during weakness.