Elon Musk Is Still a ‘Huge Admirer’ of Jensen Huang and Plans to Keep Buying Nvidia Chips. Does That Make NVDA Stock a Buy on the Dip?

From a valuation standpoint, I see it as quite reasonable given the company's current growth. The PEG ratio sits at 0.55, well below the sector median of 0.66, meaning you're paying less for each unit of earnings growth. On the other hand, forward P/E is 21.9x, right in line with the sector median and offering a 50% discount relative to its own historical average. Moreover, with a 55.6% profit margin and 101.5% return on equity, I believe this is a high-quality business trading at a reasonable price.After h ...