Is Nvidia a Safe Stock to Own During a Recession?
Nvidia (NASDAQ: NVDA) has generated phenomenal returns for investors in recent years. Since 2020, it's up around 2,000%. The company is coming off yet another fantastic earnings report where its sales more than doubled from the previous year. There's plenty of optimism for the future and for it to remain a top artificial intelligence (AI) stock to own for years.
But what if there's a recession next year? Could a slowdown in the economy hurt this seemingly unstoppable stock, or is it a good buy to hold even amid a downturn?
The last big recession in the markets took place more than 15 years ago. The Great Recession began in latter stages of 2007 and ended in June 2009. During that time, the S&P 500 crashed by 38%. Nvidia, which was still in the early stages of its growth at the time, incurred a mammoth 64% drop in value over the same time frame.
Source Fool.com
