Forget Roses. Fall in Love With Bargains That Will Last!
Forget Roses. Fall in Love With Bargains That Will Last!

Forget Roses. Fall in Love With Bargains That Will Last!

Mon, Feb 10, 2025 10:30 AM

Struggling to find a Valentine? How about choosing to gift yourself the perfect Valentine’s Day gift instead?

Look for bargain stocks because undervalued stocks probably won’t stay at the same price for long.

Time For Bargain Hunting

While the usual Chinese New Year rally may not be here, Rakuten Trade sees the recent market slump as the perfect time to go bargain hunting. You may ask why, if the market isn’t doing great, is now a great time to buy?

The short answer is YES!

Rakuten Trade’s Research Team noted the local market is going through a liquidity squeeze (an event where financial institutions lack cash flow) and the potential AI chip restrictions in Asia seem to have dampened local sentiment.

Adding to that, Deepseek’s AI model scared the market with its reported shoestring budget, causing investors to panic-sell AI-related stocks amid fears the entire AI market is overvalued.

The result?  Nvidia is down 4.3% in the last 5 days.*

Recent trends indicate a strong rebound in sectors driven by technological advancements and innovation. With major indices showing signs of recovery following last year’s volatility, investors are now eyeing companies that are at the forefront of the AI revolution.

Malaysia’s Outlook

Closer to home, amidst the doom and gloom, the fundamentals haven’t changed. The domestic political environment is relatively stable, and the development of the Johor-Singapore Special Economic Zone is coming to fruition with huge foreign investment in data centers, which should remain a key government priority with the establishment of the National AI Office and the National Semiconductor Strategy.

And on the Ringgit weakening against the US Dollar — while this may seem detrimental at first glance, AI-related stocks supported by foreign investment will be beneficiaries of the stronger Dollar.

With all that said, forget roses, chocolates, and candlelit dinners. It’s time to swipe right on companies spearheading Malaysia’s AI revolution.

From Bursa With Love:

  • Gamuda (GAMUDA) – Beneficiary of Malaysia’s infrastructure boom.
  • Tenaga Nasional (TENAGA) – Set to gain from Malaysia’s renewable energy shift and power-hungry AI data centers.
  • YTL Power (YTLPOWR) – A leader in utilities and data centers, riding the digital economy wave.
  • Inari Amertron (INARI) – Malaysia’s semiconductor powerhouse, benefiting from AI and data center demand.

Our analysts suggest that the demand for AI technologies is set to soar, with businesses across various industries investing heavily to enhance efficiency and streamline operations. This renewed interest creates a fertile ground for savvy investors to capitalize on undervalued stocks poised for growth.

Time To Fall In Love With AI Gems On NASDAQ:

  • NVIDIA (NVDA) – AI chip leader with strong momentum from Blackwell deployments.
  • Broadcom (AVGO) – Riding the AI and cloud infrastructure boom.
  • Marvell Technology (MRVL) – Beneficiaries of growing AI and data center demand.
  • Lam Research (LRCX) – Positioned for memory chip recovery.
  • ON Semiconductor (ON) – A strong pick for automotive and industrial chip recovery​.

With Rakuten Trade, you can own these stocks from as small as 0.01 units at a fixed fee of RM1 / USD0.20.

So, this Valentine’s Day, treat yourself to something special. Find those hidden gems that could lead to big rewards in 2025.

When you do, don’t forget to share the love! Get others to surf the AI wave too, and earn up to RM240 in great rewards.

So here’s to kicking your love affair in high gear with bargain stocks that will (hopefully) grow in your wallet.

 

*as of 4 February 2025 @ 4:45 am