Nvidia Stock Plunges to Decade-Low Valuation

Nvidia Corp's stock valuation is sending warning signals about its prospects for maintaining profit growth. According to data compiled by Bloomberg, Nvidia's shares are trading near the cheapest level in more than a decade.

The multiple of less than 17 times profit expected over the next 12 months is half what the stock commanded in 2025, when revenue and profit growth was slower.

This decline in valuation comes after Nvidia's revenue and profit growth accelerated significantly. In May, its shares were trading at more than 25 times earnings estimates.