Nvidia forward PE ratio tumbles to eight-month low

Nvidia’s stock has more than tripled this year amid soaring demand for its top-of-the-line processors used to power generative AI technologies that can read and write in human-like ways. — Reuters

NEW YORK: Increased analysts’ estimates since Nvidia’s strong quarterly report last week have left the world’s most valuable chipmaker trading at its lowest forward earnings multiple in eight months.

Nvidia’s stock added nearly 2% to US$468 (RM2,175) on Monday, leaving it down almost 1% since last Wednesday, when the Santa Clara, California company far exceeded expectations with its quarterly revenue forecast as an artificial intelligence (AI) boom fuelled demand for its chips.