Nvidia Aims for $10 Trillion Valuation by 2030 with Rapid Market Growth

Nvidia's market value could reach $10 trillion by 2030 if it continues to grow at an annualized rate of about 18%. This is not as unrealistic as it sounds, given that AI infrastructure spending is expected to increase over the next five years. The research firm Gartner forecasts worldwide spending on artificial intelligence will hit about $2.6 trillion in 2026, a 47% increase since last year.

Nvidia's underlying market is growing rapidly, and its total addressable market (TAM) would likely expand substantially with it. To support a $10 trillion market valuation, Nvidia would need to generate around $333 billion in profit at a price-to-earnings (P/E) ratio of 30. A more conservative multiple of 25 times earnings would put the figure closer to $400 billion.

Analysts expect Nvidia's revenue to grow at an annualized rate of about 32% from fiscal 2027 through fiscal 2029, reaching $688 billion in fiscal 2029. If Nvidia were to generate around $688 billion in revenue and convert 50% into net income, it would earn about $344 billion.