The DeepSeek sell-off could soon mean a buying opportunity in Amazon and Broadcom , according to Hightower Advisors’ Stephanie Link. Stock futures are tumbling Monday after Chinese startup DeepSeek debuted a potentially competitive artificial intelligence model at a lower cost than OpenAI, spurring investor fears of an impending burst in the AI bubble. The S & P 500 soared more than 20% both in 2024 and 2023 in large part because of bets that AI would unlock large markets for the “Magnificent Seven” stocks. Regardless, Link, Hightower’s chief investment strategist, said the tech rout could create an opportunity for investors looking to snap up AI names, especially in companies that have diversified businesses insulated from the DeepSeek headlines. “I’m thinking you want to look for opportunity. Amazon would be the one I would look for,” Link told CNBC’s “Squawk Box” on Monday. “I wouldn’t be running out today, but it’s more than an AI story. It’s an e-commerce story, operating profit story.” “Broadcom is a little bit more diversified. They do have an AI bent to them, for sure, but they also have a software component with VMware. And they also have their non-AI businesses, their cyclical businesses that are troughing,” she said. “So that would also be one that on a pullback I would look at.” Amazon is down nearly 3% in trading Monday. Broadcom shares dropped more than 12%. AMZN 1D mountain Amazon She reiterated that the data center buildout will continue and expressed confidence in the expansion of the AI market over the next several years. “Today, I get the reactions,” Link said. “Let it settle, and you pick your spots.”
