Valuations are becoming reasonable

$NVIDIA Corp(NVDA)$On the valuation side, Nvidia still has a "best-in-class" premium over its smaller competitors. In terms of expected P/E ratio, NVIDIA still has a value of 30x, compared to its rival $AMD(AMD)$with an expected P/E ratio of 22x, while other competitors also have relatively low expected P/E ratios, with $Texas Instruments(TXN)$at 19x, $Intel(INTC)$at 12x.

Currently, the 1-year valuation of NVIDIA stock is significantly below the mean level and is in the region of the lowest 1-year level. Some analysts believe this suggests that if the latest results and earnings guidance can equal or even exceed market expectations, then this would be an excellent time for long-term investors to buy the company's stock at a reasonable valuation.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Report

Comment

  • Top
  • Latest
  • Toby_Chua
    ·2022-05-30
    This week should break $200 resistance
    Reply
    Report
  • Pedestrian A
    ·2022-05-30
    It seem to be reasonable for one year valuation, but has this taking into consideration of during covid and pre-covid? Especially long term investing was mentioned.
    Reply
    Report
  • Asphen
    ·2022-05-30
    get at the next pullback bottom within next 2 weeks and then liquidate by year end or Q1 2023 and look for another entry in 2023.
    Reply
    Report
  • MANGATUR0815
    ·2022-05-30
    instead of stockpicking by looking at PE only, better choose index fund like VOO [Like]
    Reply
    Report
  • wingcheong
    ·2022-05-30
    Guess it's time to accumulate.
    Reply
    Report
  • RedpillBluep
    ·2022-05-31
    Yup, when the markets go in fear mode be greedy. this saying holds the ultimate truth! I'm really living it first hand and understanding it "real life/time". Such valuable experience is simply unreal.
    Reply
    Report
  • Iron man
    ·2022-05-30
    Tq for sharing
    Reply
    Report
    Fold Replies
    • Lulup
      ok
      2022-05-31
      Reply
      Report
  • Lao Tzu Ang
    ·2022-05-29
    If low enough, certainly worth keeping for long term.
    Reply
    Report
    Fold Replies
    • BennyTay
      👍
      2022-05-29
      Reply
      Report
  • OSJ
    ·2022-05-30
    50 basis point each in june &july. We ll see if it becomes more reasonable
    Reply
    Report
  • BenjiFuji
    ·2022-05-29
    Still too expensive isnt it? How much do you value it?
    Reply
    Report
  • Anzygart
    ·2022-05-30
    Sure is, will see how it goes before dipping my toes
    Reply
    Report
  • diggydog
    ·2022-05-30
    Buy the dip
    Reply
    Report
  • STtee
    ·2022-05-29
    built up cash reserve and get bit by bit [smile]
    Reply
    Report
  • 47ebd6a1
    ·2022-05-30
    still can wait? [Smug]
    Reply
    Report
  • Luckygim74
    ·2022-05-30
    Thks for sharing
    Reply
    Report
  • NgRobin
    ·2022-05-29
    Cool! Looking forward to how price react on earnings report
    Reply
    Report
  • JWee
    ·2022-05-31
    Probably not for all! but all the best to us!
    Reply
    Report
  • MsGrumpyOink
    ·2022-05-30
    Great ariticle, would you like to share it?
    Reply
    Report
  • 来真的
    ·2022-05-30
    Hope it is the sign of stock reaching the bottom
    Reply
    Report
    Fold Replies
    • weijie123
      Help like and comment
      2022-05-30
      Reply
      Report
  • hh488
    ·2022-05-29
    Well, miss this boat so wait for the next one to come along.
    Reply
    Report