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2 Green Flags for Nvidia's Future

TheMotleyFool

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2 Green Flags for Nvidia's FuturePhoto, wide shot, wide-angle lens, Computer hardware manufacturer, Blue hour, twilight, cool, ISO1200, slow shutter speed, photo by Edward Burtynsky: https://img.theapi.app/temp/32e7a10f-efd0-424a-861f-2f3e0bb7ce02.png

Nvidia (NASDAQ: NVDA) stock has rewarded investors handsomely in 2023 thanks to the hype around artificial intelligence (AI) and the role that the chipmaker is playing in the proliferation of this hot tech trend, as evident from the 80%-plus gains recorded by the semiconductor giant so far this year.

Nvidia's hot rally has made the stock prohibitively expensive. It is now trading at a whopping 154 times trailing earnings and nearly 25 times sales. However, investors who have been holding this high-flying chipmaker in their portfolios should consider holding on to it as it could deliver more upside.

Let's look at two reasons why Nvidia stock could still head higher.

Source Fool.com

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