Shares of Nvidia (NASDAQ:NVDA) are down in today’s trading session, which can be attributed to a Google research paper that praised the speed and energy efficiency of its fourth-generation Tensor Processing Units (TPUs). Google claimed that the TPUs, which are used to train its artificial intelligence models, are 1.2 and 1.7 times faster and 1.9 times more power-efficient than Nvidia’s A100 chips.
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Notably, Google did not compare its fourth-generation TPUs to Nvidia’s H100 chips as they were released after Google’s custom chips and use newer technology. Despite starting the day in the green, shares of Alphabet (NASDAQ:GOOGL) (NASDAQ:GOOG) also slipped and are now in negative territory.
Overall, both stocks are considered Buys by Wall Street. However, analysts expect more from Alphabet stock thanks to its average price target of $129.68 per share, which implies over 24% upside potential.