One reason the market favors Nvidia is because “in semiconductors, incumbency scale matters,” said Arya. “Unless the incumbent messes up, it is very hard to dislodge them from a market share perspective because they are the ones who get the first call when there is anything short in the supply chain.”

Nvidia (NASDAQ:NVDA) was a standout performer last year, but with shares running out of steam in recent months, the AI chip giant seems to be slowing pace as mega-cap tech races to the $4 trillion market cap milestone.