NVIDIA's stock price is plummeting, but major investment banks are comforting investors: the current valuation is super attractive!

Recently, $NVIDIA(NVDA.US) stock price can be described as "falling faster than AI computing power". At Monday's close, NVIDIA shares fell more than 8%, bringing the cumulative decline to 13.6% since early 2025. The mood in the community: "Where's my money?" "How did the AI giant become the 'king of drops'?"

But don't panic, Bernstein analysts have stepped up to say: "Don't worry, NVIDIA's valuation is super attractive now!"
They not only gave NVIDIA an "outperform" rating but also set a target price of $185.
In simple terms: "Guys, it's time to buy the dip!"

Blackwell Product Cycle: A Rocky Start, But Issues Resolved?

Bernstein analyst Stacy Rasgon pointed out in the report that NVIDIA recently launched the Blackwell product cycle, but the start seems bumpy.
"A bit shocking"—that's Bernstein's take on NVIDIA's recent performance.
However, Rasgon also noted that NVIDIA has resolved Blackwell's supply chain issues.
Blackwell's Q4 revenue of $11 billion: all shipped in January. Demand is expected to grow in coming quarters, with supply continuing to outpace demand.
Simply put: "Blackwell had a 'glitchy' start but is now 'running smooth'."

Valuation Hits 'Rock Bottom'—Opportunity Knocks?

Rasgon also mentioned that NVIDIA's current valuation has hit "rock bottom":
P/E ratio: ~25x based on forward 12-month earnings, the lowest in a year and near decade lows.
Relative to the Philadelphia Semiconductor Index (SOX): NVIDIA trades below parity, a rare occurrence in the past decade.
Relative to the S&P 500: NVIDIA's valuation is near its lowest since 2016.
Translation: "NVIDIA is now on 'fire sale'—missing out would be dumb!"

AI Boom 'Over'? Hold On, It's Just Starting!

Recent market concerns about NVIDIA focus on: slowing growth; supply chain issues; tariff and regulatory risks.
But Rasgon believes "fears of the AI boom ending are premature". Consumer demand is still rising, and the product cycle is just beginning.
GTC 2025 is weeks away—NVIDIA's flagship AI event for developers—which might bring fresh surprises!
TL;DR: "AI hype isn't cooling, NVIDIA's show is just getting started!"