What a difference a few months makes. After being beaten down for much of last year, Nvidia (NASDAQ: NVDA) stock has come roaring back, with shares up 200% (as of this writing) thus far in 2023, more than 13 times the gains of the S&P 500. This is also in stark contrast to its performance in 2022 when the stock crashed 50%.

What's driving the mind-boggling gains? In short, the accelerating adoption of artificial intelligence (AI) and the company's robust forecast. Furthermore, Nvidia suggested that the slump in graphics cards used by gamers -- which has weighed heavily on the company's results -- could be on the verge of a recovery.

What does this mean for investors who missed out on Nvidia's recent blistering returns? Should they buy the stock now in hopes of further gains or take a hard pass because of the company's nosebleed valuation? Let's review the data to see what it reveals.

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Source Fool.com