Nvidia vs Apple: DA Davidson Crowns the Ultimate Tech Titan for 2025

Silicon Valley's heavyweight showdown just got a verdict.

DA Davidson's analysts have placed their bets—and it's not even close. One of these tech giants is pulling ahead while the other plays catch-up.

Nvidia's AI dominance keeps accelerating, while Apple's innovation engine sputters. Guess who's winning?

Forget brand loyalty—this is about raw performance and market momentum. And right now, only one stock has the architecture to dominate the next cycle.

So much for the 'safe pick.' Sometimes the boring choice is just... boring.

Elevate Your Investing Strategy:

• Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.

The analyst said Nvidia remains at the center of AI growth, while Apple is falling behind with a weaker product line. Let’s break down his views on both stocks.

Nvidia Wins Upgrade on AI Demand

Luria lifted his rating on Nvidia, citing strong demand for AI compute. He said that this surge in computing needs should sustain Nvidia’s strong performance well into next year and beyond.

While Luria acknowledged headwinds from hyperscaler spending, customer-built chips such as Google’s TPUs, China demand volatility, and supply constraints, he said these factors are outweighed by the surge in compute needs. “The most important thing – the overwhelming growth in demand for compute – is the only thing that matters,” Luria wrote.

The analyst expects Nvidia to grow profits by about 40% over the next two years. He noted that the stock trades at roughly 28 times projected 2026 earnings, which he sees as reasonable given the company’s strong growth outlook. In his view, this makes Nvidia “the least expensive direct investment in the growth of AI.”

Apple Faces Downgrade on Weak Product Pipeline

In contrast, Luria cut his rating on Apple to Neutral, pointing to weak product updates and lack of near-term growth drivers. He said the iPhone 16, iPhone 17, and iPhone Air lines are not strong enough to trigger major upgrades, while the Vision Pro headset looks like a niche product.

Apple may announce a foldable iPhone next year, but Luria does not see it driving broad adoption. With earnings growth at only 9% compared to Nvidia’s 40%, he said Apple does not deserve to trade at the same multiple as Nvidia.

Luria explained that Apple may still serve as a defensive stock in a volatile market, but he favors Nvidia because of the stronger growth he sees from AI compute.

Which Is the Best Tech Stock?

We used the TipRanks Stock Comparison Tool to determine which stock is more favored by analysts. Wall Street has a “Strong Buy” consensus on Nvidia, backed by a 19% upside potential over the next 12 months. Apple carries a “Moderate Buy” rating, with a smaller expected upside of about 5%.