Why Nvidia at 13 Times Expected Earnings Still Isn’t Cheap

Why Nvidia at 13 Times Expected Earnings Still Isn’t Cheap

By Rich Duprey
Publication Date: 2026-11-08 16:08:00

Quick Read

  • Nvidia (NVDA) looks cheap at 13 times forward earnings, but a 30% cut to estimates would push the multiple to about 18.

  • Supply commitments climbed to $279 billion and days sales outstanding stretched from 45 to 60, adding balance sheet risk to the AI boom.

  • Wall Street still sees about 75% upside, with 59 of 62 analysts rating Nvidia Buy or Strong Buy despite the selloff.

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Nvidia (NASDAQ:NVDA) trades at $186.64. A forward multiple near 13 only looks cheap if Wall Street’s earnings forecasts hold up through the next phase of the AI expansion.

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Nvidia makes the accelerators, networking gear and CUDA software at the center of AI data centers. Fiscal second-quarter revenue reached $96.22 billion, up 105.8%, and Data Center sales rose 117% to $89.02 billion. Still, the stock fell 21.4% over the past month during a broad chip selloff that Barron’s described as leaving chip stocks at fire-sale prices.

NVDA price target
NVDA Price Target — 24/7 Wall St.

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