Hedge Fund Manager Predicts Nvidia’s Valuation Will Reach $6 Trillion by Year End due to Undervaluation Recognition by Investors

Nvidia Stock Poised for Continued Growth: Hedge Fund Manager Predicts $250 Target

Nvidia stock has been on a wild rally, and according to hedge fund manager Eric Jackson of EMJ Capital, the ride is far from over. Jackson forecasts that Nvidia stock could reach $250 per share by the end of the year, doubling its current levels and potentially valuing the AI-chip company at a staggering $6 trillion.

What makes Nvidia stock particularly attractive, according to Jackson, is its relatively low valuation compared to its historical price-to-earnings multiples. Despite the stock’s impressive 151% year-to-date gain and brief stint as the world’s most valuable company, there’s still room for euphoria to kick in and drive the stock even higher.

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Jackson points to Nvidia’s strong chip sales and the upcoming Blackwell and Rubin chips as catalysts for future growth. He believes that as investors start to focus on Nvidia’s earnings potential in 2025 and 2026, the stock’s valuation multiple could expand, pushing its market cap to unprecedented levels.

Contrary to comparisons to Cisco during the dot-com bubble, Jackson argues that Nvidia’s current valuation remains relatively cheap, making it an attractive investment opportunity even after its remarkable run. He also highlights Nvidia’s competitive advantage and the potential for sustained growth in the years to come.

While Wall Street remains bullish on Nvidia, with price targets ranging from $150 to $200, investors should be aware of the stock’s volatility. Nvidia recently experienced a significant correction, shedding billions in market value over a three-day period.

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As investors weigh the risks and rewards of investing in Nvidia, the outlook for the stock remains positive, driven by strong fundamentals and future growth prospects. Stay tuned to Extreme Investor Network for more updates on Nvidia and other investment opportunities in the finance world.