TECH - Are Nvidia Eli Lilly AMD's High Equity Valuations In Peril From Higher Rates? | Benzinga
Higher long-term rates typically matter a lot to equity valuations. However, according to DataTrek, today’s mega-cap stocks are likely to weather the current higher rate environment.
- Nvidia Corporation (NASDAQ:NVDA) has a price-to-earnings (P/E) ratio of 65.8
- Eli Lilly And Company (NYSE:LLY) even higher at 131
- Advanced Micro Devices Inc (NASDAQ:AMD), with a gigantic 334
See the chart below.
DataTrek puts the current average Shiller p/e of 34.1 into some context.
The Fed’s aggressive rate cycle in 2022 and 2023 did not fundamentally spook equities anywhere near as much as ...