1 Artificial Intelligence (AI) Stock That Should Be on Every Investor's Holiday List

Core Insights - Nvidia is positioned as a compelling investment opportunity with a strong growth record and reasonable valuation, reporting a 67% year-over-year increase in earnings per share for fiscal Q3 2026, while trading at 24.5 times next year's earnings estimate, compared to the S&P 500's 22.2 times [1][2] Company Performance - Nvidia is experiencing high demand for its GPUs, particularly for data centers, with management projecting revenue of approximately $65 billion for fiscal Q4 2026, reflecting a 14% quarter-over-quarter increase and 65% year-over-year growth [4] - If Nvidia meets its revenue guidance, it is expected to enter calendar 2026 with annualized revenue of around $260 billion, driven by significant orders from major clients like Alphabet, Microsoft, xAI, and Meta Platforms for its upcoming Rubin chips [6] Market Position - Nvidia is recognized as the leader in the AI chip market, with analysts forecasting a 48% revenue growth next year, potentially reaching approximately $316 billion [7] - The company's gross margin stands at 70.05%, and it has a market capitalization of $450.9 billion, indicating strong financial health [5][6]