This Artificial Intelligence (AI) Play Could Be the Steal of 2026

Finding steals in the stock market isn't easy, but they are available. Sometimes, they're right under your nose! I think one of the biggest steals in the market today is hidden in plain sight: Nvidia (NASDAQ: NVDA).

Nvidia is the world's largest company by market cap, so how is it a steal?

It all comes down to the growth Nvidia expects in 2026 and beyond, and if the market priced that growth into the stock, it would be trading for much more than it actually is.

Image source: Getty Images.

Nvidia is capitalizing on massive AI growth

Nvidia makes graphics processing units (GPUs), which were originally developed to process gaming graphics. These computing units can process multiple calculations in parallel, making them ideal for tasks that require serious computing power. GPUs have been tasked with engineering simulations, drug discovery work, cryptocurrency mining, and other workloads, but ultimately, their largest use case yet is artificial intelligence.

Nvidia's GPUs, in particular, are most in demand due to their full technology stack. Nvidia offers a turnkey solution to get your supercomputer up and running, and this has allowed Nvidia to grow at an unbelievable pace since 2023.

NVDA Revenue (Quarterly YoY Growth) data by YCharts

While that chart may indicate that Nvidia's growth is slowing, it's hard to say that 63% year-over-year growth merits a "slowdown" label. Furthermore, its growth is starting to tick back up. For Q4, Wall Street analysts expect 67% revenue growth. For fiscal year 2027 (ending January 2027), they expect 52% growth.

The reality is, Nvidia isn't done growing, and the stock is primed for more upside throughout 2026.

Right now, Nvidia trades for 24.6 times FY 2027 earnings estimates. Compared to other big tech stocks that trade for around 30 times forward earnings, this is a fair price to pay for the stock.

NVDA PE Ratio (Forward 1y) data by YCharts

Furthermore, the S&P 500 (SNPINDEX: ^GSPC) trades for 22 times forward earnings, so you'd only be paying a slight premium over the broader market to purchase a company whose revenue is expected to grow at a 50% or greater pace this year and is at the center of one of the biggest industrial revolutions the world has ever seen.

It really doesn't get better than this, and investors should take advantage of the fact that Nvidia's stock isn't trading for a massive premium despite fairly solid prospects. I think Nvidia is a steal right now, and investors should take advantage of the low price and load up on the stock.

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