Nvidia just posted blowout numbers again but the stock went nowhere. It’s actually moving down today (Friday). Shouldn’t that worry investors? – Lee

Not at all. In fact, Nvidia just got cheaper.

As I type this, the stock trades at about 49x earnings. That’s down from 59x only a few days ago.

That’s not because the business got weaker.

It’s because of two things: first, the stock price slipped from $180+ to around $174. Second, Wall Street’s earnings projections have jumped higher in the past few days.

When the “P” (price) goes down and the “E” (earnings) goes up, the P/E ratio falls. That means Nvidia is significantly cheaper than it was just a few sessions ago.

And here’s the key – has anything changed about the business? Not at all. Demand is still through the roof. Nvidia still can’t make H100s, H200s, or Blackwell chips fast enough.

So no, I don’t see a reason to worry. I see a world-class company trading at a better price.

Just own it.

How would you estimate Nvidia’s stock price in one year? – Bill

Great question, Bill. I’ll try to keep this simple.

In short, Nvidia is expected to earn $6.30 per share next year. You can see this on the “Analysis” tab of Yahoo! Finance.

The stock typically trades at a P/E ratio somewhere between 50-60X. $6.30 multiplied by 50 equals a $315 price target. $6.30 multiplied by 60 equals a $378 price target. I expect the stock to trade around these levels next year.

Even at a more conservative P/E ratio – say 30X – equals a price target of $189.

Even the conservative estimate is above the current stock price. You can see why I’m so bullish on the stock.

Thank you for your humble recount of your good Teledoc (TDOC) trade gone wrong. I’ve been debating on selling my Palantir (PLTR) and Rocket Lab (RKLB) positions. I’ve got significant gains but am worried about losing them. Do you think these stocks could make a “round trip” move like your TDOC position? – Seth

Hi Seth. Thanks for the email! I’m certainly comfortable talking about my losers. TDOC was unfortunately a big winner that I held onto for too long that turned into a minimal gain – that I mentally “bucket” as a loser…

Both Palantir (PLTR) and Rocket Lab (RKLB) are trading at incredibly high multiples right now. I’ve even recommended RKLB in the past because I like the company’s long-term potential, but at this valuation I can’t recommend adding more.

The risk here isn’t necessarily that something goes wrong with either company. It’s that eventually we’ll hit a market-wide downturn. When that happens, the stocks with the richest valuations are the ones with the most room to fall.

You don’t need to dump your entire position if you believe in the businesses long term. But if it was in my portfolio I'd be taking some profits here.

Will you be offering anybody to follow you in your trades? – Adam

Yes! Just follow along with these emails.

While official Million Mission trades don’t happen too often (because I’m waiting for specific setups with 10x potential), I still talk about stocks to buy and sell in daily alerts.

Want to Hear Me Talk About Nvidia and Tesla?

I joined Greg Guenthner on Top Trades this week.

You can see the full video up now on Youtube.

Click here to watch.

Important Update: Follow The Million Mission on Twitter/X

If you're serious about following The Million Mission closely – this is where it gets real.

I just launched a Twitter/X account: @DavisPWilson.

This is where I’ll be sharing quick-hit insights, breaking news reactions, and behind-the-scenes moves I don’t always include in the full articles.

If you want to stay ahead of the curve and see how I’m navigating the journey to $1 million in real time – this is the feed to watch.

Another Important Update: The Million Mission website is live!

I’ve gotten plenty of feedback regarding where to find previous alerts. Well, The Million Mission website is finally live and you can check out archived alerts here.

Portfolio Overview

Here’s what I’m currently holding in the Million Mission portfolio:

Fannie Mae (FNMA) – 2,500 shares @ ~$7.25/share.