Nvidia shares have risen more than 1,700% since a cyclical low about four years ago, driven by demand for GPUs used in AI data centers, and trade at a P/E of 27 versus the S&P 500 average of 26. Revenue in fiscal 2027's second quarter reached $96.2 billion, up 106%, and analysts forecast 91% revenue growth for fiscal 2027. The author notes that five customers accounted for 70% of accounts receivable and that Nvidia provides financial support, such as stakes and credit, to customers including CoreWeave, OpenAI and Anthropic, a practice that faces allegations of circular financing. Drawing parallels to the dot-com bust and rising interest rates, the author argues that if this approach backfires, shareholders could face significant losses, and has changed the rating from 'buy' to 'hold'.
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NVDA
• NeutralNvidia
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.1T |
| Close on 10/28/2026 | 215.39 |
| Change that session | -1.17% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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