Some of the biggest artificial intelligence plays have sold off dramatically during the recent market turmoil, and here's how to trade them right now according to Quint Tatro, founder and president of Joule Financial. Tatro broke down his views on Nvidia , Snowflake and Palantir on Friday on CNBC's "Three-Stock Lunch." Nvidia Nvidia has fallen 12.7% week to date, on pace for its third down week in a row. Tatro believes investors could start selling on any future relief rally as an oversold bounce is due. "If you are caught in this name and you have watched it decline and you are hoping and praying for a relief rally when it comes, I think you should consider lightening the position here," Tatro said. "Ultimately, Nvidia is a textbook play on the early adoption and phase of AI, clearly selling chips, incredible fundamentals and now we're seeing a movement away from that." NVDA YTD mountain Nvidia year-to-date. Snowflake The investor believes the next growth area in the AI space is software and Snowflake embodies this theme. "This is a little difficult because you're looking at a company that's trading [at] 100 times forward earnings like, why would you ever touch that? But the earnings are accelerating the beat, top and bottom," he said. Tatro said Snowflake is in a sweet spot, assisting companies storing and working with large amounts of data and helping them to implement AI to improve customer efficiency and profitability. He thinks the stock being down 12% over the past month is an opportunity to build a longer-term position. SNOW YTD mountain Snowflake shares so far this year. Palantir For Palantir, Tatro said he continues to be an owner of the stock. Palantir said Friday it is rolling out its first two AI-enabled systems to the U.S. Army. Tatro called it an "unprecedented" move by the military to partner with a software company. "I'd be hard-pressed to sell after this decline but I'm certainly not buying here. There will be a better opportunity and Palantir is best-of-breed going forward," Tatro said. "It's going to be a standout stock for a long time but a very tough buy at this level." Palantir shares fell slightly this week despite Friday's 5% rally, bringing its 2025 gain to some 12%. PLTR YTD mountain Palantir in 2025.
