NVIDIA Corporation NVDA

rediction: This Is Where Nvidia Stock Could Be by the End of Next Year
Nvidia shares have already delivered 900% over five years, but a specific multiple applied to a rising earnings estimate points to a price target that Wall Street has not yet penciled in. Here is the math behind the case for…

Vandita Jadeja
Published September 18, 2026, 8:30am ET · 3 min read
Quick Read

NVDA trades at just 23x forward earnings despite 106% revenue growth, and a 26x multiple on FY2028 EPS estimates puts the stock near $400.
Jensen Huang says Vera Rubin generates $40B revenue per gigawatt versus $25B for Blackwell, and hyperscaler capex is projected to hit $1.3 trillion in 2027.
NVDA has returned 239% in 2023 and 171% in 2024, making an 83% run to $400 by end of 2027 historically plausible.
The professional research desk has always been the part of Wall Street that retail investors could not buy. AlphaSpace by Yahoo Finance opens one for $39.95 a month, and the first seven days cost nothing.1 (Sponsor)

Jensen Huang just gave Nvidia investors a massive 2027 signal
Nvidia is already preparing investors for another unusually large jump in AI chip demand
Author's Avatar
Faizan Farooque
09/18/2026 06:26

GuruFocus.com
on
Summary
Jensen Huang expects Nvidia to sell twice as many chips next year
Article's Main Image
NVDA
▲+0.21%
Nvidia Corp. (NVDA, Financials) is providing another signal to investors that demand has not hit its peak, the semiconductor company fueling much of the AI infrastructure development.

Nvidia CEO Jensen Huang said Thursday he expects the company to sell twice as many chips in the next year as it did this year.

His rationale was straightforward. AI investment is spreading across industries, economies and countries. The prediction adds to numbers that Nvidia has already presented to investors.

Management said consumer expectations are pointing to another doubling of growth next year. Nvidia also projected around 70% revenue growth for the fiscal year ending January 2028, bringing revenue to almost $673 billion.

That forecast might not even capture the entire demand.

Management has classified the outlook as supply tight, implying Nvidia's capacity to ship chips could remain one of the largest impediments to growth.

Last year, Huang said the company shipped around 6 million Blackwell GPUs in four quarters. Now Rubin is coming up as the next big part of the product cycle.

Not every AI stock riding this year’s rally has growth that will last, according to T. Rowe Price portfolio manager Paul Greene. He argues that investors need to weigh how long a company’s advantage will last, not just how big it looks today.

Key Takeaways:
TCHP has returned 12.49% annualized since its 2020 launch.
Nvidia is TCHP’s largest holding, at 17.4%, reflecting Greene’s semiconductor conviction.
Payment networks and aerospace makers offer growth potential entirely outside of the AI trade.
Hardware makers that rode supply shortages to steep price increases illustrate the gap between magnitude and durability, Greene wrote in a recent report. “Aggressive price increases based primarily on scarcity historically have proved less defensible,” he said, adding that elevated prices tend to draw in new competitors and push customers toward workarounds.

That same durability lens runs through the portfolio Greene manages day to day. The T. Rowe Price Blue Chip Growth ETF (TCHP) screens for established, large companies with above-average growth and profitability. The approach leans on bottom-up research rather than momentum, according to the fund’s fact sheet.

See more: T. Rowe Price Eyes AI ‘Sleepers’ Beyond Chip Stocks

TCHP held $2.1 billion in net assets as of Sept. 11, and charges a 0.57% expense ratio, according to T. Rowe Price data. Shares have returned 12.5% since the fund launched in August 2020.

Greene, who has spent 20 years at T. Rowe Price, builds a concentrated book of 75 to 125 large-cap names. He puts at least 80% of assets into blue-chip companies with above-average earnings potential, the fact sheet shows. The fund aims to beat the benchmark mainly through stock selection over a three- to five-year cycle.

Where Durable Growth Shows Up
Within semiconductors, Greene favors companies with leadership in advanced manufacturing and foundry capacity. He calls them “linchpin” firms that benefit no matter which chip architecture wins out.

Hyperscalers including Alphabet Inc. (GOOGL), Amazon.com, Inc. (AMZN), Meta Platforms, Inc. (META), Microsoft Corp. (MSFT) and Oracle Corp. (ORCL) fit a similar mold, he wrote. Their cloud units are layering in AI workflows that should prove sticky over time.

Traditional software is the AI story Greene trusts least. Subscription-based vendors face pressure to shift toward usage-based pricing as competition intensifies and pricing power erodes, he explained. Caution and selectivity are warranted in that corner of the market.

In Greene’s view, fears that AI shopping agents will gut e-commerce are overdone. He pointed to Alphabet’s decades-long attempt to compete with online travel agencies.

That rivalry ended with the search giant routing traffic to those same agencies instead of displacing them. The result: real-world relationships and integrated payments proved harder to disrupt than software alone.

Outside AI entirely, Greene pointed to global payment networks and aerospace manufacturers as areas where earnings can climb for years. Both benefit from pricing power and the shift from cash to digital transactions.

Those preferences show up directly in TCHP’s holdings. Nvidia Corp. (NVDA) is the fund’s largest position at 17.4%, according to ETF Database. Alphabet, combining its two share classes, ranks second at roughly 11.4% of the fund. Microsoft and Broadcom Inc. (AVGO) follow, at 5.8% and 5.7%, respectively.

Hyperscaler spending offers a sense of scale. Combined capital expenditures from Alphabet, Amazon.com, Meta Platforms, Microsoft and Oracle have climbed every year since 2017. Consensus estimates compiled by T. Rowe Price using FactSet data project that spending will keep rising through 2027. Free cash flow, meanwhile, is expected to shrink.

Who do trust more Trowe price or the random delusional bear?

Not every AI stock riding this year’s rally has growth that will last, according to T. Rowe Price portfolio manager Paul Greene. He argues that investors need to weigh how long a company’s advantage will last, not just how big it looks today.

Key Takeaways:
TCHP has returned 12.49% annualized since its 2020 launch.
Nvidia is TCHP’s largest holding, at 17.4%, reflecting Greene’s semiconductor conviction.
Payment networks and aerospace makers offer growth potential entirely outside of the AI trade.
Hardware makers that rode supply shortages to steep price increases illustrate the gap between magnitude and durability, Greene wrote in a recent report. “Aggressive price increases based primarily on scarcity historically have proved less defensible,” he said, adding that elevated prices tend to draw in new competitors and push customers toward workarounds.

That same durability lens runs through the portfolio Greene manages day to day. The T. Rowe Price Blue Chip Growth ETF (TCHP) screens for established, large companies with above-average growth and profitability. The approach leans on bottom-up research rather than momentum, according to the fund’s fact sheet.

See more: T. Rowe Price Eyes AI ‘Sleepers’ Beyond Chip Stocks

TCHP held $2.1 billion in net assets as of Sept. 11, and charges a 0.57% expense ratio, according to T. Rowe Price data. Shares have returned 12.5% since the fund launched in August 2020.

Greene, who has spent 20 years at T. Rowe Price, builds a concentrated book of 75 to 125 large-cap names. He puts at least 80% of assets into blue-chip companies with above-average earnings potential, the fact sheet shows. The fund aims to beat the benchmark mainly through stock selection over a three- to five-year cycle.

Where Durable Growth Shows Up
Within semiconductors, Greene favors companies with leadership in advanced manufacturing and foundry capacity. He calls them “linchpin” firms that benefit no matter which chip architecture wins out.

Hyperscalers including Alphabet Inc. (GOOGL), Amazon.com, Inc. (AMZN), Meta Platforms, Inc. (META), Microsoft Corp. (MSFT) and Oracle Corp. (ORCL) fit a similar mold, he wrote. Their cloud units are layering in AI workflows that should prove sticky over time.

Traditional software is the AI story Greene trusts least. Subscription-based vendors face pressure to shift toward usage-based pricing as competition intensifies and pricing power erodes, he explained. Caution and selectivity are warranted in that corner of the market.

In Greene’s view, fears that AI shopping agents will gut e-commerce are overdone. He pointed to Alphabet’s decades-long attempt to compete with online travel agencies.

That rivalry ended with the search giant routing traffic to those same agencies instead of displacing them. The result: real-world relationships and integrated payments proved harder to disrupt than software alone.

Outside AI entirely, Greene pointed to global payment networks and aerospace manufacturers as areas where earnings can climb for years. Both benefit from pricing power and the shift from cash to digital transactions.

Those preferences show up directly in TCHP’s holdings. Nvidia Corp. (NVDA) is the fund’s largest position at 17.4%, according to ETF Database. Alphabet, combining its two share classes, ranks second at roughly 11.4% of the fund. Microsoft and Broadcom Inc. (AVGO) follow, at 5.8% and 5.7%, respectively.

Hyperscaler spending offers a sense of scale. Combined capital expenditures from Alphabet, Amazon.com, Meta Platforms, Microsoft and Oracle have climbed every year since 2017. Consensus estimates compiled by T. Rowe Price using FactSet data project that spending will keep rising through 2027. Free cash flow, meanwhile, is expected to shrink.

When frank stop playing with his Johnson.

Jensen Huang just gave Nvidia investors a massive 2027 signal
Nvidia is already preparing investors for another unusually large jump in AI chip demand
Author's Avatar
Faizan Farooque
09/18/2026 06:26

• GuruFocus.com
  on
  Summary
  Jensen Huang expects Nvidia to sell twice as many chips next year
  Article's Main Image
  NVDA
  ▲+0.21%
  Nvidia Corp. (NVDA, Financials) is providing another signal to investors that demand has not hit its peak, the semiconductor company fueling much of the AI infrastructure development.

Nvidia CEO Jensen Huang said Thursday he expects the company to sell twice as many chips in the next year as it did this year.

His rationale was straightforward. AI investment is spreading across industries, economies and countries. The prediction adds to numbers that Nvidia has already presented to investors.

Management said consumer expectations are pointing to another doubling of growth next year. Nvidia also projected around 70% revenue growth for the fiscal year ending January 2028, bringing revenue to almost $673 billion.

That forecast might not even capture the entire demand.

Management has classified the outlook as supply tight, implying Nvidia's capacity to ship chips could remain one of the largest impediments to growth.

Last year, Huang said the company shipped around 6 million Blackwell GPUs in four quarters. Now Rubin is coming up as the next big part of the product cycle.

That leaves investors with a different question than they had at the start of the AI boom. Nvidia no longer has to prove only demand. The next question is whether its supply chain can handle the huge volume that Huang now expects.

Jensen knows best:

Jensen Huang just gave Nvidia investors a massive 2027 signal
Nvidia is already preparing investors for another unusually large jump in AI chip demand
Author's Avatar
Faizan Farooque
09/18/2026 06:26

• GuruFocus.com
  on
  Summary
  Jensen Huang expects Nvidia to sell twice as many chips next year
  Article's Main Image
  NVDA
  ▲+0.21%
  Nvidia Corp. (NVDA, Financials) is providing another signal to investors that demand has not hit its peak, the semiconductor company fueling much of the AI infrastructure development.

Nvidia CEO Jensen Huang said Thursday he expects the company to sell twice as many chips in the next year as it did this year.

His rationale was straightforward. AI investment is spreading across industries, economies and countries. The prediction adds to numbers that Nvidia has already presented to investors.

Management said consumer expectations are pointing to another doubling of growth next year. Nvidia also projected around 70% revenue growth for the fiscal year ending January 2028, bringing revenue to almost $673 billion.

That forecast might not even capture the entire demand.

Management has classified the outlook as supply tight, implying Nvidia's capacity to ship chips could remain one of the largest impediments to growth.

Last year, Huang said the company shipped around 6 million Blackwell GPUs in four quarters. Now Rubin is coming up as the next big part of the product cycle.

That leaves investors with a different question than they had at the start of the AI boom. Nvidia no longer has to prove only demand. The next question is whether its supply chain can handle the huge volume that Huang now expects.

Prediction: This Is Where Nvidia Stock Could Be by the End of Next Year
Nvidia shares have already delivered 900% over five years, but a specific multiple applied to a rising earnings estimate points to a price target that Wall Street has not yet penciled in. Here is the math behind the case for…

Vandita Jadeja
Published September 18, 2026, 8:30am ET · 3 min read
Quick Read

NVDA trades at just 23x forward earnings despite 106% revenue growth, and a 26x multiple on FY2028 EPS estimates puts the stock near $400.
Jensen Huang says Vera Rubin generates $40B revenue per gigawatt versus $25B for Blackwell, and hyperscaler capex is projected to hit $1.3 trillion in 2027.
NVDA has returned 239% in 2023 and 171% in 2024, making an 83% run to $400 by end of 2027 historically plausible.

Nvidia CEO Jensen Huang introduced Vera Rubin, a next-generation AI data center platform, and Rubin Ultra, a next-generation AI GPU architecture, earlier this year. (AFP via Getty Images)
Nvidia is already the dominant artificial-intelligence chip company. But its reach could extend even further next year, if CEO Jensen Huang is to be believed.

Now the dive will start