Nvidia on Track for Potential 100% Surge by 2028

Nvidia is now the most valuable company in the world, worth more than $5 trillion. Its chips are central to the AI revolution, and top AI labs and cloud computing platforms rely on them.

The stock has surged over the past decade, increasing by more than 14,000%. If you were to buy Nvidia a decade ago and hold it, your $1,000 investment would now be worth more than $14,000.

Nvidia is still considered cheap, trading at a price-to-earnings ratio (P/E) of 29. The S&P 500's P/E ratio is slightly lower at 25, but the P/E ratio only looks back at past earnings. Forward-looking estimates expect Nvidia to grow revenue by 91% this year and 66% next year.

The stock trades at a forward P/E of 14.6 based on next year's forecasted earnings per share (EPS) of $15.68 for fiscal 2028. If the company meets these estimates, Nvidia's stock would double in less than a year and a half.