Nvidia's Value Gap Widens as AI Demand Fuels Growth

Nvidia's stock is trading at its lowest valuation multiple in at least a decade, according to Hightower Advisors' Chief Investment Strategist Stephanie Link.

The chipmaker has expanded its share repurchase authorization by $150 billion, bringing the total active buyback program to $235 billion through fiscal 2028.

Nvidia's dominance in the server GPU market, holding around 97%, continues to drive robust sales growth driven by unrelenting demand for AI infrastructure.

Link believes Nvidia presents a compelling buying opportunity after its notable divergence from broader semiconductor sector benchmarks, despite underperforming the Philadelphia Semiconductor Index by 55% year-to-date and 75% over the trailing 12 months.