TECH - Wall Street's 'Dean Of Valuation' Still Thinks Nvidia's Market Cap Is Too High But Says This Is A Story 'We Could Find Plausible Paths To Get To $3 Trillion' | Benzinga
Wall Street darling Nvidia Corp. (NASDAQ:NVDA) reached a new milestone on Wednesday, exceeding the $3 trillion market capitalization mark for the first time, briefly pushing its valuation past Apple’s. However, the stock’s lofty price has reignited the debate about its true value.
What Happened: New York University Stern School of Business Professor Aswath Damodaran, known as Wall Street’s “Dean of Valuation,” believes Nvidia’s intrinsic value doesn’t justify its current price tag.
Despite this, he acknowledged the company’s achievements in a CNBC interview: “If you are designing the perfect momentum company from scratch, Nvidia would be it.”
“A great story, a CEO who sticks to the story, no distractions, is able to meet expectations of the short term because they have set the game up and you’ve got a market that contributes to the mix,” he said.
“I think that you'll see one of the great momentum plays of all time playing out in front of you,” Damodaran added.
While an early Nvidia investor, Damodaran sold his holdings in mid-2023 due ...