Semiconductor stocks have been beaten down this year, but that hasn't stopped asset manager Rob Luna from investing his clients' — and his own — money in one chip stock. His top pick in the semiconductor sector is Nvidia , a company which he described as "best-in-breed." He acknowledged the stock is "absolutely out of favor now," but said investors with a longer-term view could take advantage of its current depressed valuation to buy into the stock. "I don't necessarily think that you should go all-in right now, but I think if you don't have a position in a name like Nvidia, this is a good entry point," Luna, who is CEO and chief investment strategist at Surevest Wealth Management, told CNBC's "Street Signs Asia" on Wednesday. "I really like Nvidia and again, with the stock being down 50% in the past year, on a longer-term theme, that's where we're putting our clients' money, that's where I'm putting my own personal money," Luna added. Nvidia shares tumbled earlier this week after the chipmaker released preliminary results that show second-quarter revenue well below its initial outlook. Shares in the California-based company closed at around $181 on Wednesday, a far cry from its 52-week high of around $346.50. The company has lost about half of its market capitalization over the same period. "Money is made though buying into pessimism and selling into optimism," Luna added. Everything has 'a chip in it' Luna sees the current slowdown in demand for chips as inevitable, particularly as Covid restrictions ease. Demand for semiconductors soared during the pandemic as consumers bought more smartphones and computers to facilitate working and studying from home. Companies also invested more in data centers to support remote working. But there are now signs that demand is dropping off as consumers return to schools and offices. On Tuesday, chip giant Micron became the latest company to warn of slowing demand, joining a chorus of warnings from other major chipmakers such as Intel , Qualcomm and Nvidia. Read more Top investor Paul Meeks says chipmakers are 'gold' – and reveals his ‘must own’ stock Just how strong is the U.S. consumer? Here's what Wall Street has to say — and the stocks it likes 'Boring is best': Citi says it's a bear market rally and shares how to beat the volatility Micron said demand for its DRAM and NAND chips has deteriorated since the company last provided an update on Jun. 30. It also adjusted downwards its current-quarter revenue forecast and warned of negative free cash flow in the next quarter. But Luna says the likes of Nvidia and Advanced Micro Devices have adapted well to "dying" demand for computers, whereas Intel has not. A play on longer-term demand Luna remains bullish on longer-term demand, even if there's a slowdown now. "Obviously, you would see some type of a slowdown now, but when you look at the Internet-of-Things and pretty much everything in our life at some point in time having a chip in it ... I think in your portfolio, you should have a little bit of a longer-term structural position," he said. "The position that [chips] hold in society is so important and so fundamental that I do think that for investors, if you could think a little longer-term, this can be a good entry point," he added. He believes Nvidia has "gotten it right," and will be a "long term benefactor" from its entry into the gaming and automotive sectors.