Nvidia's Revenue Ramp Could Send Stock Soaring to $335

Nvidia's earnings estimates have far surpassed its current share price, and an upcoming product ramp could significantly impact revenue projections. The company is expected to release a new product that will bring in significant revenue, with Vera Rubin contributing approximately $40 billion of revenue per gigawatt compared to Blackwell's $25 billion. Management expects the fastest product ramp in Nvidia's history, with Rubin making up about 20% of data center revenue next quarter.

Nvidia's stock is currently trading at a multiple of around 14x trailing earnings and 45x consensus fiscal 2028 earnings per share (EPS). However, analysts have raised their EPS estimates for fiscal 2028 to $15.6826, with 42 upward revisions and zero downward over the past 30 days.

The company's cash returns are also a significant factor, with a record $26 billion returned to shareholders last quarter and approximately $99 billion left on its buyback authorization. Debt-to-equity is 0.073, and return on invested capital is 92.2%. Management plans to return more of its excess free cash flow, which supports the company's high-growth position.

To track Nvidia's performance, investors should watch for revenue at or above $108 billion in Q3 FY2027, gross margin near 74%, and supply commitments. If AI spending stalls and those $279 billion in supply commitments turn into excess inventory, the stock may miss its target price of $335 per share by September 27, 2028.