Q2: Nvidia Isn't Microsoft, And 2026 Isn't 1999

Nvidia Corporation is rated Strong Buy, driven by unmatched efficiency in AI hardware and robust earnings growth. NVDA's valuation at 32x earnings is well below historical tech bubbles, with projected EPS growth of 90% this year and 45% next year. NVDA's ecosystem—CUDA software, industrial capacity, and market share—creates high switching costs and insulates against AMD and hyperscaler competition.

Even with multiple compressions to 22x and moderate EPS growth to $13, NVDA could deliver a 35% upside by FY28, with risks mainly from macro and hyperscaler self-sufficiency.