Locator: 51802CHIPS.
Query: a Bloomberg lead today
Nvidia’s sinking stock valuation speaks volumes about the chipmaker’s prospects for maintaining its booming profit growth.
Nvidia’s shares are trading near the cheapest level in more than a decade, according to data compiled by Bloomberg. The multiple is half what the stock commanded in 2025, when Nvidia’s revenue and profit growth was slower, and down from more than 25 times earnings estimates as recently as May.
Part of the problem is that Nvidia’s profitability is under pressure.
I asked Gemini if that lede was accurate. I was surprised by the answer. Link here. Link: https://share.google/aimode/Fovr7CDGzPwhBjsQZ.
There's a bifurcation coming.
This is not a zero-sum game. The AI pie is growing exponentially and "everyone" in the chip business is going to make a lot of money before this is all over.
