By Leo Sun
Publication Date: 2026-04-22 20:10:00
Nvidia (NVDA +1.23%) and Microsoft (MSFT +2.05%) have been two of the market’s hottest artificial intelligence (AI) stocks. Nvidia, the world’s leading producer of data center GPUs, sells the best picks and shovels for training AI algorithms. Microsoft, the world’s largest software company, owns a major stake in ChatGPT’s creator OpenAI. It’s also been integrating its Copilot generative AI services into most of its cloud-based services and applications.
From the beginning of 2020 to the end of 2025, Nvidia’s stock skyrocketed 3,070% as Microsoft’s stock rallied 207%. But this year, Nvidia’s stock has risen only 8%, while Microsoft’s has declined nearly 60%. Both stocks lost their luster amid concerns about inflation, the Fed’s reluctance to cut interest rates, and the escalating Middle East conflict. Those headwinds drove investors toward more conservative investments and chilled the AI market’s multi-year rally.
Image source: Getty Images.
However, I believe that pullback…
