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How can you achieve selective modification of UI by using nested server components?

Suppose I have a child Server component inside a parent Server component, both make some async requests, but fetched data is independent among both, can you achieve selective updation of UI rendered by the child component when for example fetch inside is purged by revalidateTag of child Server component (which seems to be the only way to selectively force updation) ?
Also this selective modification along with reduced bundle size seem to be the only advantages of Server components over natural SSR or SSG. If selective modification is not possible then I think advantages of Server Components are too limited.

Can you achieve selective modification of UI by using nested server components?

Suppose I have a child Server component inside a parent Server component, both make some async requests, but fetched data is independent among both, can you achieve selective updation of UI rendered by the child component when for example fetch inside is purged by revalidateTag of child Server component (which seems to be the only way to selectively force updation) ?
Also this selective modification along with reduced bundle size seem to be the only advantages of Server components over natural SSR or SSG. If selective modification is not possible then I think advantages of Server Components are too limited.