【Bernstein: Nvidia currently has high return potential in its valuation】On December 20, Bernstein stated that Nvidia (NVDA.O) has an unusually attractive valuation relative to the Philadelphia Stock Exchange Semiconductor Index, with overall valuation multiples suggesting a favorable outlook for future returns. Analyst Stacy Rasgon noted that Nvidia is currently "valued at a discount of about 13% relative to the chip stock index, placing it in the historical first percentile. In fact, there have only been 13 trading days in the past decade when Nvidia's stock price was valued lower than it is now relative to the SOX." Nvidia's recent valuation is about 25 times future EPS, which "means that a forward P/E ratio of 25 places its stock price in the 11th percentile of the valuation distribution over the past decade," a level that "is quite cheap in absolute terms," and that "investors who bought Nvidia when its valuation was below 25 times over the past decade have all received substantial returns—an average return of over 150% for holding 1 year, with no negative returns during that period." Bernstein has given Nvidia an "outperform" rating, with a target price of $275.