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5 Top AI Stocks to Buy on the Dip as Slowdown Fears Hit Market
AI stocks are under pressure Monday, as calls to slow AI development over safety concerns raise questions about future infrastructure spending.
Higher Treasury yields—with the 10-year briefly touching 5%—are also pressuring growth-stock valuations, potentially creating opportunities if selling becomes excessive.
With that in mind, Nvidia, Taiwan Semiconductor, Arista Networks, Dell Technologies and Hewlett Packard Enterprise stock all sport a Zacks Rank #1 (Strong Buy).
Their operating momentum makes them worth considering if the AI selloff gets overdone rather than reflects a genuine deterioration in earnings prospects.
1. Nvidia – NVDA
Nvidia, the AI chip leader, supplies the GPUs, networking, and software powering AI training and inference. Fiscal second-quarter data-center revenue surged 117% year over year to $89 billion, while adjusted gross margin reached 75%. Management's $108 billion Q3 revenue outlook underscores substantial demand, supporting the case for considering NVDA on a sentiment-driven pullback.
2. Taiwan Semiconductor –TSM
Taiwan Semiconductor provides the advanced chip manufacturing essential to the AI buildout. Second-quarter revenue grew roughly 34% in U.S.-dollar terms to $40.2 billion, with gross margin reaching 67.7%. August sales subsequently increased 53% YoY, offering another encouraging demand signal as its newest manufacturing technology ramps up.
3. Arista Networks – ANET
Arista supplies high-speed networking that connects computing resources across AI data centers. Second-quarter revenue increased nearly 38% to $3.04 billion, while adjusted EPS climbed nearly 40%. Its 49.9% adjusted operating margin demonstrates strong profitability, and new 1.6-terabit networking platforms position Arista for increasingly demanding AI deployments.
4. Dell Technologies – DELL
Dell supplies AI servers, storage and supporting data-center infrastructure. Fiscal second-quarter AI-server revenue doubled to $16.4 billion, while its AI-server backlog reached a record $95 billion. Management also raised its current fiscal 2027 adjusted EPS guidance to $25.50 from $17.90, providing a particularly compelling earnings-based argument for considering DELL on weakness.
5. Hewlett Packard Enterprise – HPE
HPE combines AI servers, networking and hybrid-cloud infrastructure. It's fiscal third-quarter revenue most recently rose 34% to $12.2 billion, with Cloud & AI operating margin expanding to 17% from 7% a year earlier. HPE also raised its FY26 adjusted EPS guidance range to $3.75-$3.85 and free-cash-flow guidance to at least $3.75 billion, strengthening the investment case beyond AI enthusiasm.
Honorable Mention & Bottom Line
Super Micro Computer also sports a Zacks Rank #1 (Strong Buy) and supplies AI servers and liquid-cooled, rack-scale systems. Most recently, Super Micro's fiscal fourth-quarter sales reached $11.1 billion versus $5.8 billion a year earlier, while fiscal 2027 revenue guidance of $65-$72 billion points to substantial further expansion.
For all six, the strongest buy-the-dip opportunity would pair lower share prices with resilient earnings expectations. Gradual buying is more defensible than assuming the first decline marks the bottom.
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.
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Zacks Investment Ideas feature highlights: Nvidia, Taiwan Semiconductor, Arista Networks, Dell Technologies, Hewlett Packard and Super Micro Computer
For Immediate Release
Chicago, IL – September 15, 2026 – Today, Zacks Investment Ideas feature highlights Nvidia (NVDA - Free Report) , Taiwan Semiconductor (TSM - Free Report) , Arista Networks (ANET - Free Report) , Dell Technologies (DELL - Free Report) , Hewlett Packard Enterprise (HPE - Free Report) and Super Micro Computer (SMCI - Free Report)
5 Top AI Stocks to Buy on the Dip as Slowdown Fears Hit Market
AI stocks are under pressure Monday, as calls to slow AI development over safety concerns raise questions about future infrastructure spending.
Higher Treasury yields—with the 10-year briefly touching 5%—are also pressuring growth-stock valuations, potentially creating opportunities if selling becomes excessive.
With that in mind, Nvidia, Taiwan Semiconductor, Arista Networks, Dell Technologies and Hewlett Packard Enterprise stock all sport a Zacks Rank #1 (Strong Buy).
Their operating momentum makes them worth considering if the AI selloff gets overdone rather than reflects a genuine deterioration in earnings prospects.
1. Nvidia – NVDA
Nvidia, the AI chip leader, supplies the GPUs, networking, and software powering AI training and inference. Fiscal second-quarter data-center revenue surged 117% year over year to $89 billion, while adjusted gross margin reached 75%. Management's $108 billion Q3 revenue outlook underscores substantial demand, supporting the case for considering NVDA on a sentiment-driven pullback.
2. Taiwan Semiconductor –TSM
Taiwan Semiconductor provides the advanced chip manufacturing essential to the AI buildout. Second-quarter revenue grew roughly 34% in U.S.-dollar terms to $40.2 billion, with gross margin reaching 67.7%. August sales subsequently increased 53% YoY, offering another encouraging demand signal as its newest manufacturing technology ramps up.
3. Arista Networks – ANET
Arista supplies high-speed networking that connects computing resources across AI data centers. Second-quarter revenue increased nearly 38% to $3.04 billion, while adjusted EPS climbed nearly 40%. Its 49.9% adjusted operating margin demonstrates strong profitability, and new 1.6-terabit networking platforms position Arista for increasingly demanding AI deployments.
4. Dell Technologies – DELL
Dell supplies AI servers, storage and supporting data-center infrastructure. Fiscal second-quarter AI-server revenue doubled to $16.4 billion, while its AI-server backlog reached a record $95 billion. Management also raised its current fiscal 2027 adjusted EPS guidance to $25.50 from $17.90, providing a particularly compelling earnings-based argument for considering DELL on weakness.
5. Hewlett Packard Enterprise – HPE
HPE combines AI servers, networking and hybrid-cloud infrastructure. It's fiscal third-quarter revenue most recently rose 34% to $12.2 billion, with Cloud & AI operating margin expanding to 17% from 7% a year earlier. HPE also raised its FY26 adjusted EPS guidance range to $3.75-$3.85 and free-cash-flow guidance to at least $3.75 billion, strengthening the investment case beyond AI enthusiasm.
Honorable Mention & Bottom Line
Super Micro Computer also sports a Zacks Rank #1 (Strong Buy) and supplies AI servers and liquid-cooled, rack-scale systems. Most recently, Super Micro's fiscal fourth-quarter sales reached $11.1 billion versus $5.8 billion a year earlier, while fiscal 2027 revenue guidance of $65-$72 billion points to substantial further expansion.
For all six, the strongest buy-the-dip opportunity would pair lower share prices with resilient earnings expectations. Gradual buying is more defensible than assuming the first decline marks the bottom.
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Get all the details here >>
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.