Nvidia’s Fiscal 2028 Growth Outlook Surpasses Wall Street Expectations
Nvidia (NASDAQ: NVDA) has projected a revenue increase of 70% year-over-year for fiscal 2028, significantly higher than Wall Street’s expectation of 44% growth. This forecast suggests potential sales of approximately $675 billion, based on an anticipated revenue of $397 billion in fiscal 2027, highlighting a discrepancy of about $100 billion between Nvidia’s outlook and analysts’ predictions. The company cites supply constraints, particularly in high bandwidth memory and other components, as limiting factors.
Despite a decline in its presence in the Chinese market, Nvidia’s revenue forecasts remain robust. During the last fiscal quarter, shipments to China contributed less than 1% to Nvidia’s data center revenue, and management noted that no revenue from China is included in their forward outlook due to geopolitical uncertainties. The firm is now targeting alternative growth channels, with non-hyperscale customers accounting for roughly half of its data center business.
As of now, Nvidia’s stock trades at a forward price-to-earnings ratio of around 23 and a PEG ratio of 0.6, indicating potential undervaluation amid accelerating growth in data centers. This suggests strong market performance, even with challenges in supply and diminished market share in China.
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