Why Wedbush Is Buying Nvidia and Tesla After Trump’s Greenland Tariff Threats

TLDR

• Tech stocks fell sharply on Tuesday with the tech sector ETF down 2.2% as President Trump threatened tariffs on countries opposing Greenland’s sale to the U.S.
• Trump proposed tariffs starting at 10% in February and rising to 25% by June, also threatening steep levies on French goods and criticizing European allies.
• Major tech companies dropped with Nvidia, Meta and Alphabet down about 2%, while Amazon and Tesla fell over 2%.
• Wedbush analyst Dan Ives called the pullback a buying opportunity, citing upcoming Q4 earnings and $550 billion in AI capital spending planned for 2026.
• Ives recommended buying stocks including Nvidia, Microsoft, Palantir, CrowdStrike, Apple, Google and Tesla during the market weakness.

Tech stocks dropped on Tuesday morning as markets reacted to President Donald Trump’s renewed threats over Greenland. The State Street Technology Select Sector SPDR ETF fell 2.2% in early trading.

Trump threatened new tariffs on countries that oppose selling Greenland to the United States. He said in a Truth Social post that tariffs could start at 10% in February. Those tariffs could then rise to 25% by June.

The president also mentioned steep tariffs on French goods. He criticized European allies, raising fears about wider trade tensions between the U.S. and European Union.

Major tech companies saw their shares decline. Nvidia, Meta Platforms and Alphabet all dropped around 2%. Apple and Microsoft fell more than 1% each.

NVIDIA Corporation, NVDA

Amazon and Tesla declined more than 2%. The tech sector losses pulled down broader market indexes. Nasdaq 100 futures dropped 1.8%.

S&P 500 futures fell 1.5%. Dow Jones Industrial Average futures were down 1.4%.

The tensions come as global leaders meet at the World Economic Forum in Davos, Switzerland this week. Investors are watching for signs that talks could ease the situation.

Wedbush Calls Selloff a Buying Chance

Wedbush analyst Dan Ives said he was not worried about the market drop. He called it a chance to buy tech stocks ahead of earnings season.

Ives said the AI Revolution is still in early stages. He believes the current tensions won’t change that outlook as the fourth Industrial Revolution continues to grow in 2026.

Big Tech Earnings and AI Spending Ahead

The analyst pointed to upcoming fourth quarter earnings from tech companies as a key factor. He expects a strong earnings season over the next few weeks based on his research.

Ives said Big Tech plans around $550 billion in capital spending this year. That money will fund the next phase of AI development.

He listed several stocks to buy during the weakness. His recommendations include Nvidia, Microsoft, Palantir, CrowdStrike, and Nebius. The list also features Apple, Palo Alto Networks, Google and Tesla.

Ives is attending the Davos conference this week. He noted the tariff issue is clearly weighing on the event as Trump prepares to speak to tech leaders and world leaders.

Trump plans to meet with global CEOs at a special address on Wednesday. A CEO reception will follow his speech. The exact agenda remains unclear.

Treasury Secretary Scott Bessent has asked European countries not to retaliate against U.S. trade tariffs announced over the Greenland issue. U.S. policy changes under Trump, including tariff threats on European countries, will likely be a main topic of discussion at Davos.

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