NVIDIA's Forward Discount Reveals Hidden Value

NVIDIA (NVDA) stock is expensive at first glance, trading at about 30.7 times its last twelve months of earnings.

However, looking two years out to fiscal year 2028, the picture changes significantly.

The company's data center revenue has been growing at an impressive 92% year-over-year, and analysts expect this growth to continue.

In fact, based on forward consensus estimates for 2028 earnings, today's share price of $208.48 is only about 16.2 times those future earnings.

This represents a 47% lower multiple than the trailing one, reflecting expected growth in NVIDIA's earnings.