<p>Despite growing fears that the AI stock boom led by giants like <strong>Nvidia Corp. </strong>(NASDAQ:NVDA) is mirroring the late-1990s dot-com bubble, <strong>Charles Schwab</strong>'s <strong>Kevin Gordon</strong> argues that today’s market fundamentals tell a much healthier, diversified story.</p>



<h2><strong>Stop ‘Cherry-Picking’ Data</strong></h2>



<p>While it feels like a top-heavy market driven by a handful of AI titans, Gordon warned investors against “cherry-picking” narrow time horizons to prove a massive concentration risk.</p>



<p>Gordon, in conversation with <strong>Phil Rosnen</strong>, notes that while Nvidia is currently the top contributor to the S&amp;P 500's return purely due to its massive market cap, sheer contribution does not equal pure performance.</p>



<p>“If you look at its performance, there are almost 90 names in the S&amp;P 500 that are seeing stronger gains this year, you know, in front of Nvidia,” Gordon explained.</p>



<p>He emphasized that there are still meaningful, often ignored pockets of outperformance in the market—such as small-cap tech significantly beating large-cap tech over the past year—if investors are willing to look under the surface.</p>



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<blockquote><p lang="en" dir="ltr">Record earnings are hiding risks in the stock market right now.  <br/><br/>I sat down with @KevRGordon, head of macro research for Charles Schwab, to discuss the top-heavy market and current setup for investors, the Mag 7 and S&amp;P 493 convergence trade, the semis rally and 1998, the gap… pic.twitter.com/WHiizoEERC</p>— Phil Rosen (@philrosenn) May 19, 2026</blockquote>
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Michael Burry Compares Today's 'More Extreme' Nasdaq Surge To Dot-Com Bubble: SNDK Is 'Beating That' 1999 QCOM Record
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<h2><strong>Sentiment Isn’t ‘Euphoric’</strong></h2>



<p>Addressing the looming fears of a Dot-Com Crash 2.0, Gordon highlighted stark contrasts between the macro backdrops of 2000 and today. During the dot-com bubble, almost every valuation and sentiment metric pointed to a massively overextended market driven by pure hype.</p>



<p>“Everything was screaming euphoric in ’99 and 2000. Today, that’s not necessarily the case,” Gordon said. He credits the rolling corrective phases of 2022 and 2023 for preventing a dangerous, overarching melt-up.</p>



<p>These routine market washouts have successfully wrung out “frothy sentiment,” keeping investor expectations relatively grounded.</p>



<h2><strong>A Healthier Earnings Profile</strong></h2>



<p>Ultimately, Gordon stressed that high P/E multiples alone are terrible tools for predicting market crashes. Instead, he focuses on the actual financial health of the S&amp;P 500, arguing that today’s corporate earnings profile is substantially healthier than it was decades ago.</p>



<p>Instead of tech companies with zero revenue trading at sky-high multiples, today’s largest names are generating massive, tangible profits, supporting a durable underlying economy.</p>



<p>Analysts are expecting NVDA to report second-quarter earnings of $1.76 per share on revenue of $79.04 billion after the closing bell on Wednesday.</p>



<h2><strong>How Has NVDA Performed In 2026?</strong></h2>



<p>In comparison with the Nasdaq 100’s 14.33% year-to-date advance, shares of NVDA have fallen by 18.29% over the same period. It closed 0.77% lower on Tuesday at $220.61 per share, and it was 1.39% higher in premarket on Wednesday.</p>



<p>Over the last month, NVDA stock was up 9.39%, and it advanced 18.28% and 62.73% over the last six months and the year, respectively. <strong>Benzinga’s Edge Stock Rankings</strong> indicate that NVDA maintains a strong price trend in the medium, short, and long terms, with a poor value ranking.</p>



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<p>
<strong>
Read Also:

S&amp;P 500 Flashes A Rare Signal That Leads To Over 20% Gains Historically: Ryan Detrick Calls It 'Good News'
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<p><strong><em>Disclaimer:</em></strong><em> This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.</em></p>



<p><em>Image via Shutterstock</em></p>

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<p>Kevin Gordon from Charles Schwab argues that fears of a Dot-Com Crash 2.0 due to Nvidia's AI stock boom are unfounded. He emphasizes that today's market fundamentals are healthier than in the late 1990s, cautioning against 'cherry-picking' data. While Nvidia leads the S&P 500, many other stocks are outperforming it. Gordon notes that current market sentiment is not euphoric, and the earnings profile of major tech companies is robust, contrasting with the hype-driven market of the past.</p>

- Kevin Gordon from Charles Schwab suggests that current market fundamentals are healthier than during the dot-com bubble despite concerns over AI stock concentration led by Nvidia.  
- He highlights that numerous S&P 500 stocks are outperforming Nvidia and warns against selectively analyzing data to convey a false sense of risk.  
- Gordon emphasizes that today's corporate earnings profile is stronger, with major companies generating substantial profits, contrasting with the high valuations of unprofitable tech firms from the 1990s.

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Nvidia Triggering Dot-Com Crash 2.0? Kevin Gordon Says Stop 'Cherry-Picking' Data, Tech Isn't 'Euphoric'