u/Adrian-The-Great

NVDA grew revenue 85% and the stock rose 22%. Micron rose 725%. I think the interesting question is what you're actually buying at 21x.

NVIDIA's 21x valuation appears stretched when accounting for earnings quality. Unrealized gains on private equity stakes inflate reported earnings, high customer concentration (36% from two customers) poses risk, and $95bn in forward purchase commitments become liabilities if AI spending growth stalls. Share losses to competitors (Broadcom, Google TPUs) combined with decelerating hyperscaler capex could turn commitments from a moat into a problem.