Prediction: Nvidia's Stock Will Hit $300 by the End of 2026

Nvidia (NASDAQ: NVDA) currently has a stock price of about $220. For the stock to reach $300 per share by the end of 2026, that would require a 36% return. Most of the time, stocks only return 36% after two to three years, not six months. However, I think that's entirely possible for Nvidia's stock, especially if it can stretch this year's strength into next year.

There are already signs of brewing 2027 demand, and I think that bodes well for Nvidia reaching $300 per share.

Image source: The Motley Fool.

Nvidia continues to post solid results

Nvidia makes graphics processing units (GPUs), which were originally designed for gaming graphics. That was among the most intense workloads any computing unit would see back in the day, and the GPU excelled at the task due to its ability to process multiple workloads in parallel. Eventually, GPUs were used for other tasks, like engineering simulation, drug discovery, and cryptocurrency mining.

And then they were deployed in the artificial intelligence (AI) training and inference world, and that has been their largest use case, by far. Demand for Nvidia's GPUs continues to increase, and the company has a strategy to reaccelerate its revenue growth after tapering off a bit last year.

NVDA Revenue (Quarterly YoY Growth) data by YCharts

Wall Street analysts estimate Nvidia will grow its revenue at a 79% rate in the first quarter and an 85% clip in the second quarter. That showcases the strength of Nvidia's offerings and the overall demand for AI computing power. However, growth isn't expected to stop there.

CEO Jensen Huang has told investors that cumulative demand for its Blackwell and Rubin systems will reach $1 trillion by the end of 2027. It's hard to nail down exactly what the "cumulative" figures project for future revenue growth as we don't have the exact figures from previous years. Nvidia started selling Blackwell GPUs in large quantities during 2025, and Rubin only became available last year.

During its fiscal 2026 (ended January 2026, encompassing nearly all of 2025), Nvidia generated $216 billion in revenue. In fiscal 2027, Wall Street expects $371 billion. Those revenue figures include other products, so that leads to a huge total for Nvidia to fill in 2027.

Additionally, its clients have also signaled further spending in 2027. During its Q1 conference call, Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) told investors that capital expenditures will see a "significant increase" in 2027 from 2026's levels. That bodes well for Nvidia, as it's a major supplier to Alphabet for computing units.

All of this adds up to strong 2027 demand, which should allow Nvidia's stock price to soar further in 2026.

Nvidia can easily reach $300 per share

Investors are always looking toward what's next for Nvidia, rather than what's in the past.That's because its massive growth rate makes the stock look overvalued if you examine it from a trailing-earnings perspective, but the opposite is true when you look at it from a forward-earnings perspective. Over the past few years, Nvidia has reached over 40 times forward earnings by the end of the year as expectations rose.

NVDA PE Ratio (Forward) data by YCharts

I think the same will happen this year, and wouldn't be surprised to see Nvidia valued at 40 times forward earnings by the end of the year. With its current price tag of 26 times forward earnings, that would indicate 54% upside for Nvidia's stock. It only needs a 36% gain to reach $300 per share, so I wouldn't be surprised to see Nvidia exceed that target. That makes Nvidia a no-brainer buy right now.

Keithen Drury has positions in Alphabet and Nvidia. The Motley Fool has positions in and recommends Alphabet and Nvidia. The Motley Fool has a disclosure policy.