Nvidia's stock has climbed more than 300% over the past three years but is up only about 9% this year, as investors question whether big tech's AI infrastructure spending will be sustainable and pay off. In its latest quarter, Nvidia reported a 100% revenue increase to $96 billion and a triple-digit gain in net income to $59 billion, with data centers making up more than 90% of revenue, so a pullback in cloud giants' spending could hurt it. The average Wall Street estimate calls for a 60% gain over the next 12 months. The stock trades at 21x forward earnings, which the author considers a bargain given Nvidia's market leadership, and argues that AI's real-world rollout has only just begun.
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Nvidiaartificial intelligencevaluationdata centers
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| Market | US stocks |
|---|---|
| Sector | Consumer Discretionary |
| Industry | Broadline Retail |
| Market cap | $2.6T |
| Close on 11/02/2026 | 245.63 |
| Change that session | +2.20% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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