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3. To justify current valuation revenues must continue to grow next 4-5 years until plateauing while Nvidia profit margin gradually declines to something normal
by nabla9 2y ago
3. To justify current valuation revenues must continue to grow next 4-5 years until plateauing while Nvidia profit margin gradually declines to something normal, like 30%.
High growth is fragile. The value of Nvidia has dropped 50% multiple times in the past. Recression, or temporary oversupply, anything can mess it.