{"id":576353,"date":"2026-04-10T17:54:11","date_gmt":"2026-04-10T17:54:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/576353\/"},"modified":"2026-04-10T17:54:11","modified_gmt":"2026-04-10T17:54:11","slug":"prediction-this-artificial-intelligence-ai-stock-will-be-worth-twice-as-much-by-the-end-of-2026","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/576353\/","title":{"rendered":"Prediction: This Artificial Intelligence (AI) Stock Will Be Worth Twice as Much by the End of 2026"},"content":{"rendered":"<p>Artificial intelligence (AI) stocks hit headwinds in 2026, as evidenced by the 3% year-to-date decline in the Global X Artificial Intelligence &amp; Technology ETF, which invests in companies developing AI hardware and software, apart from using the tech in their operations.<\/p>\n<p>Nvidia (<a href=\"https:\/\/www.fool.com\/quote\/nasdaq\/nvda\/\" class=\"font-bold hover:underline\" rel=\"nofollow noopener\" target=\"_blank\">NVDA<\/a> +2.47%), arguably the biggest name in AI, has shared the broader market&#8217;s pain. <a href=\"https:\/\/www.fool.com\/investing\/how-to-invest\/stocks\/how-to-invest-in-nvidia-stock\/\" class=\"text-cyan-900 hover:text-cyan-800\" rel=\"nofollow noopener\" target=\"_blank\">Nvidia stock<\/a> is down about 1.6% in 2026 (and was down as much as 12% in late March), even though there are no signs of a slowdown in its business. This pullback seems like a buying opportunity, especially considering that this AI pioneer could see its shares double by the end of the year.<\/p>\n<p>Let&#8217;s see why Nvidia could see a parabolic jump in its stock price in 2026.<\/p>\n<p><img alt=\"A central processing unit with Nvidia's graphics processing unit inside.\" loading=\"lazy\" width=\"880\" height=\"528\" decoding=\"async\" data-nimg=\"1\" class=\"h-auto max-w-full rounded object-contain\" style=\"color:transparent\"   src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2026\/04\/1775843650_214_.png\"\/><\/p>\n<p class=\"caption\">Image source: Nvidia.<\/p>\n<p>Nvidia&#8217;s terrific revenue pipeline is going to supercharge its growth<\/p>\n<p>Nvidia&#8217;s fiscal 2026 (which ended on Jan. 25, 2026) finished on a high note. Its fiscal fourth-quarter revenue shot up 73% year over year to $68 billion, exceeding the full-year 65% growth to $216 billion. Its earnings per share rose by 82% year over year in the quarter, while annual earnings grew 60% to $4.77 per share.<\/p>\n<p>The numbers are impressive, but what&#8217;s worth noting is that Nvidia is likely to do even better in the new fiscal year (which coincides with the majority of 2026). The chipmaker&#8217;s Blackwell and Vera Rubin chip platforms have been a runaway hit among customers, driven by their ability to tackle both AI model training and inference workloads.<\/p>\n<p>As a result, Nvidia anticipates a whopping $1 trillion in revenue from the Blackwell and Rubin chip systems in 2026 and 2027. That&#8217;s double the revenue it originally anticipated for these two platforms in 2025 and 2026, clearly suggesting that the latest Rubin systems are gaining terrific traction.<\/p>\n<p><img alt=\"Nvidia Stock Quote\" loading=\"lazy\" width=\"64\" height=\"64\" decoding=\"async\" data-nimg=\"1\" class=\"w-full flex-none object-contain\" style=\"color:transparent\"  src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2026\/04\/1775843651_90_.png\"\/><\/p>\n<p>Today&#8217;s Change<\/p>\n<p>(2.47%) $4.54<\/p>\n<p>Current Price<\/p>\n<p>$188.45<\/p>\n<p>Key Data Points<\/p>\n<p>Market Cap<\/p>\n<p>$4.5T<\/p>\n<p>Day&#8217;s Range<\/p>\n<p>$184.32 &#8211; $190.00<\/p>\n<p>52wk Range<\/p>\n<p>$95.04 &#8211; $212.19<\/p>\n<p>Volume<\/p>\n<p>4.2M<\/p>\n<p>Avg Vol<\/p>\n<p>179M<\/p>\n<p>Gross Margin<\/p>\n<p>71.07%<\/p>\n<p>Dividend Yield<\/p>\n<p>0.02%<\/p>\n<p>Again, that&#8217;s not surprising, as Nvidia claims its Rubin chips are 3.5 times faster than Blackwell during AI model training and 5 times faster for inference applications. Nvidia&#8217;s data center business, therefore, still has remarkable room for growth.<\/p>\n<p>Nvidia clocked a record $193.7 billion in data center revenue in fiscal 2026, up by 68% from the prior year. The $1 trillion guidance for the next couple of years points to a substantial increase in the segment&#8217;s revenue, which is why analysts project a faster 74% increase in its bottom line this year to $8.29 per share.<\/p>\n<p>Importantly, Nvidia&#8217;s fiscal 2027 earnings estimate has been inching higher, a trend that could continue amid heavy investments in AI data centers.<\/p>\n<p><a href=\"https:\/\/ycharts.com\/companies\/NVDA\/chart\/\" class=\"text-cyan-900 hover:text-cyan-800\" target=\"_blank\" rel=\"noopener noreferrer nofollow\"><img alt=\"NVDA EPS Estimates for Current Fiscal Year Chart\" loading=\"lazy\" width=\"720\" height=\"380\" decoding=\"async\" data-nimg=\"1\" class=\"h-auto max-w-full rounded object-contain\" style=\"color:transparent;max-width:720px\"   src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2026\/04\/ffb506009f3134cc489565eb7d33d081.png\"\/><\/a><\/p>\n<p class=\"caption\">Data by <a href=\"https:\/\/ycharts.com\" class=\"text-cyan-900 hover:text-cyan-800\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">YCharts<\/a>. EPS = earnings per share.<\/p>\n<p>The market isn&#8217;t rewarding the stock for its outstanding growth<\/p>\n<p>The semiconductor stock&#8217;s retreat in 2026 doesn&#8217;t seem justified, given the points discussed above. As a result, Nvidia is trading at an attractive 21 times forward earnings, a slight premium to the S&amp;P 500 index&#8217;s forward earnings multiple of 21. Nvidia, however, deserves to trade at a much higher premium to the S&amp;P 500.<\/p>\n<p>I say this because its earnings growth in the current fiscal year is poised to be more than 4 times the average 17% earnings growth that S&amp;P 500 companies are expected to deliver. So don&#8217;t be surprised if this <a href=\"https:\/\/www.fool.com\/investing\/stock-market\/market-sectors\/information-technology\/ai-stocks\/quantum-computing-stocks\/\" class=\"text-cyan-900 hover:text-cyan-800\" rel=\"nofollow noopener\" target=\"_blank\">AI stock<\/a> commands a premium multiple after a year.<\/p>\n<p>Assuming Nvidia trades at 42 times earnings due to its eye-popping growth (double the S&amp;P 500&#8217;s multiple), its stock could jump to $348 based on the $8.29 per share earnings estimate. That&#8217;s almost double its current price, which is why it would be a good idea to buy it before it steps on the gas.<\/p>\n","protected":false},"excerpt":{"rendered":"Artificial intelligence (AI) stocks hit headwinds in 2026, as evidenced by the 3% year-to-date decline in the Global&hellip;\n","protected":false},"author":2,"featured_media":576354,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[182,181,507,74],"class_list":["post-576353","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/576353","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=576353"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/576353\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/576354"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=576353"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=576353"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=576353"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}