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Re: mtsr post# 7433

Friday, 01/19/2024 1:18:47 PM

Friday, January 19, 2024 1:18:47 PM

Post# of 10772
I think everyone is asking that same question - will they split again and when? Take a look at this:

Why a stock split could come sooner rather than later

Nvidia has strong relationships with all of the major cloud service providers. Its innovation and long history of specializing in GPU development means it can price its chips at a premium. This is bolstering Nvidia's profit margin and fueling robust earnings growth. While analysts expect Nvidia to post revenue growth of 56% this year, earnings per share are projected to increase by 66%.

Those estimates would represent a significant slowdown from the triple-digit growth rates we've seen in recent quarters. But the stock could still be a bargain.

Nvidia shares are trading at a forward price-to-earnings ratio of just 25 times next year's earnings estimate. That's less than half the growth of the company's earnings, which is usually a good signal that a growth stock is undervalued.

Growing demand for AI chips should keep Nvidia in growth mode. A relatively modest valuation sets the stage for the share price to move higher, and therefore increases the chances of another split.




https://www.nasdaq.com/articles/stock-split-watch%3A-is-nvidia-next-2
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