Bloomberg Surveillance · Wednesday, August 26, 2026
Despite NVIDIA being a major driver of market rallies, its forward price-to-earnings (PE) ratio is currently around 18.8, making it cheaper than Hershey's chocolate (PE around 20) and the broader S&P 500. This valuation is notable given NVIDIA's year-to-date gains and its role in the AI-driven market.
“So my point is, right now, when I'm speaking with portfolio managers, look at the PE on NVIDIA. I mean, it's around 18.”
“That's less than the S & P 500.”
“Stop, stop. That's too important. Folks, what you just heard there from Ms. Benton is too important.”
“Well, it's also cheaper than Hershey's.”
“NVIDIA's forward PE based on earnings growth is cheaper than Hershey's chocolate. Yes.”