Re:Nvidia on the Mountaintop
by mfitton on Monday August 28, 2023 @04:08PM
(#37299768)
Does it not? Given their current profits, we would expect 25b in rolling year profits. Their market cap is 1.2t. Apple, with about 80b in rolling year, has a market cap of 2.8t
Given the kind of revenue and profit growth forecast NVDA has given, these numbers don't seem terribly far off.
Worth noting that NVDA's profits 8xed in a single year. A lot of people are basing their NVDA valuation based on the past year's revenue, which does make them look extremely overvalued. However, if NVDA has enough sales and enough of a moat to double their profits again, suddenly they'll be biting at Apple's heels profit wise with a much lower valuation.
It doesn't seem like a totally crazy valuation to me, despite the uncertainties involved.
Given the kind of revenue and profit growth forecast NVDA has given, these numbers don't seem terribly far off.
Worth noting that NVDA's profits 8xed in a single year. A lot of people are basing their NVDA valuation based on the past year's revenue, which does make them look extremely overvalued. However, if NVDA has enough sales and enough of a moat to double their profits again, suddenly they'll be biting at Apple's heels profit wise with a much lower valuation.
It doesn't seem like a totally crazy valuation to me, despite the uncertainties involved.