Think It's Too Late to Buy Nvidia Stock? Here's Why the Best Could Be Yet to Come.
Nvidia's stock has surged over 30,000% in the last decade, making it the most valuable company globally with a market cap exceeding $4.6 trillion. CFO Colette Kress highlighted a potential $3 trillion to $4 trillion AI infrastructure spending opportunity by the decade's end, indicating significant growth prospects. Despite a 56% year-over-year increase in data center revenue, Nvidia's stock remains attractively priced with a 30 earnings multiple based on next year's estimates, suggesting it is still a strong buy for investors.
Nvidia's (NVDA -1.10%) powerful chips are used in almost every data center and cloud service provider for the most advanced artificial intelligence (AI) workloads. Its stock has rocketed over 30,000% over the last 10 years, making Nvidia the most valuable company in the world with a market cap over $4.6 trillion at the time of writing.
But Nvidia's management mentioned one number on the company's last earnings call that stunned analysts, and it's why the stock is still a no-brainer buy.
Image source: Nvidia.
A multitrillion-dollar opportunity
During Nvidia's fiscal second-quarter 2026 earnings call, CFO Colette Kress said, "We see $3 trillion to $4 trillion in AI infrastructure spend by the end of the decade. The scale and scope of these build-outs present significant long-term growth opportunities for Nvidia."
This statement further builds the case that Wall Street is still underestimating the magnitude of the AI opportunity for Nvidia. AI model builders like OpenAI, which use Nvidia's chips, are seeing more demand than they have computing capacity. This is why there has been a rush to secure more data center capacity this year by tech companies.
Despite Nvidia's data center revenue growing 56% year over year last quarter, investors can still buy the stock at a very reasonable earnings multiple of 30 based on next year's earnings estimate.
