Nvidia has reached a troubling valuation, with NVDA stock hovering at a stagnated $190 price level over the last two months. The company’s growth was something to marvel at over the last two years. The AI boom thrust Nvidia into the spotlight, making NVDA stock one of the most actively traded on the US markets. However, that growth stunted in the back half of 2025, and is only recently beginning to mend itself.
At less than 24 times estimated forward earnings, Nvidia is trading not far from its lowest price-to-earnings (P/E) multiple in five years. It’s also well below its five-year average of roughly 38 times. Additionally, Nvidia’s P/E ratio remains near the low end of its peers in Big Tech, including Microsoft, AMD, and Alphabet (GOOGL).
Furthermore, Wall Street analysts raised concerns over Nvidia (NVDA) stock late last week. On February 25, Nvidia will report its fiscal 2025 Q4 earnings report. The consensus Q4 revenue estimate sits at $65.6 billion, with an average adjusted earnings estimate of $1.52 per share — both reflecting year-over-year growth of roughly 71%, per S&P Global. However, some analysts are predicting that Nvidia stock will drop right after the report, even if the numbers beat.
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In the end, it will be an interesting Nvidia earnings day. Wall Street expectations are high, but the stock looks cheap. Any miss on those expectations, however, and one could definitely expect Nvidia’s stock to get even cheaper. Based on CNN analyst ratings for NVDA, the stock could fall to as low as $140 over the coming quarter should earnings not bode well. However, a return to $200 and higher is a more favorable outcome amongst most of Wall Street, with NVDA’s average rating being a buy.