Is Now the Perfect Time to Invest in Nvidia Stock at Less than $150 Post-Split?
Money | June 25, 2024, 12:34 p.m.
Nvidia has seen record revenue levels driven by high demand for its chips and related products, particularly in the AI market where it holds an 80% share. The company's transition from gaming to AI has resulted in explosive earnings growth, with revenue and net income climbing in the triple digits. Despite a recent stock split bringing the price down to around $120-$135, Nvidia remains a top choice for investors looking to capitalize on the AI growth story. With the market expected to exceed $1 trillion later this decade, Nvidia's position as a leader in the market is likely to continue, especially with the promise of ongoing innovation through annual GPU updates and the highly anticipated Blackwell platform. Trading at around 46x forward earnings estimates, Nvidia may seem expensive, but considering its long-term potential and strong financial performance, it remains a top AI growth buy.