Is Nvidia Stock Too Cheap to Ignore Right Now?

Nvidia ( (NVDA) ) has been popular among investors this week. Here is a recap of the key news on this stock.

Nvidia remains at the heart of the AI boom, and Wall Street is betting the story is far from over. The stock is up roughly 30–35% so far this year, but has largely moved sideways since summer even as earnings estimates keep rising. That pause has pulled Nvidia’s valuation down to about 25 times forward earnings, placing it near the low end of its 10‑year range and even at a discount to the broader semiconductor index — a rare backdrop for a company still posting strong growth. Bernstein’s highly followed analyst Stacy Rasgon calls the stock “unusually cheap” at these levels, reiterating an Outperform rating and a price target around $275, and saying plainly, “We would be buyers here.” Street-wide, the sentiment is similar: Nvidia carries a Strong Buy consensus from about 40 analysts, with average 12‑month targets clustered around $259–$260 per share, implying roughly 44–49% upside from current prices.

Fundamentals and positioning continue to support that optimism. U.S. regulators have cleared Nvidia’s planned $5 billion investment in Intel, giving the GPU leader added manufacturing flexibility just as global demand for AI chips remains intense. Ownership is broad-based: public companies and individual investors hold about 42% of shares, with large stakes concentrated in Vanguard funds and major ETFs like VTI and VOO, underscoring Nvidia’s role as a core market holding. At the same time, the ecosystem around Nvidia is getting more complex. Chinese giant Tencent is reportedly accessing Nvidia’s latest Blackwell chips via a Japanese cloud provider, highlighting both the global reach of Nvidia’s technology and regulatory loopholes that may attract political scrutiny. New rivals such as Cerebras Systems are pushing toward IPOs to challenge Nvidia’s dominance in AI hardware, but for now, analysts see Nvidia’s product roadmap — from current GPUs to next‑generation Rubin and Blackwell platforms — and a potential $500 billion long‑term opportunity as key reasons why, despite recent stock stagnation, many investors view any weakness as a chance to build positions rather than bail out.