Where Will Nvidia Stock Be in 5 Years?
The last five years have been incredible for Nvidia (NASDAQ: NVDA) investors as shares of the semiconductor specialist have taken off in stunning fashion thanks to the terrific growth in its revenue and earnings, and a couple of solid catalysts in the form of video gaming and artificial intelligence (AI).
An investment of just $100 in shares of Nvidia five years ago is now worth a whopping $2,850. The stock's gains of 2,750% during this period have crushed the S&P 500 index's jump of 93% in the past five years. But now, Nvidia is the world's third-largest company with a market capitalization of just over $2.9 trillion. Expecting the stock to jump another 25 times to 30 times from current levels over the next five years doesn't seem logical as its market cap would then be worth a whopping $80 trillion.
The global economy, for comparison, was worth an estimated $105 trillion last year. However, it is worth noting that Nvidia still has solid-growth drivers in the bag that could allow it to sustain healthy levels of growth over the next five years.
Source Fool.com
