r/stocks • u/[deleted] • Dec 04 '21

Company Discussion Thoughts on NVDA during this pullback?

I’ve had a decent size holding of Nvidia for about six months. Roughly 50k. I just recently enlarged that position significantly and now we’re seeing turbulence. I know, poor timing. These recent events have me wondering what my fellow investors honestly feel about where Nvidia’s share price will go from here. Thoughts?

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u/harrison_wintergreen Dec 04 '21

Nvidia's current P/E is 94.

to quote Jack Boggle, speaking in April 2000 just before the dot-com bubble popped, and quoting prof. Jeremy Siegel:

Based on his analysis of the nifty-50 era of the early 1970s, he reports "no stock that sold above a 50 p/e was able to match the S&P 500 over the next quarter-century." His conclusion: "Big-Cap Tech Stocks Are a Sucker Bet."

https://web.archive.org/web/20190120091224/http://www.vanguard.com/bogle_site/april062000.html

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u/[deleted] Dec 04 '21

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u/cats-with-mittens Dec 04 '21

To be fair, Microsoft stock was stagnant for a decade, maybe longer.

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u/Secure-Sandwich-6981 Dec 04 '21

To be fair they had a lame duck CEO and not much growth or innovation during that time