NVDA is undervalued with a fair value of $332 vs current $225; strong demand (sold out through 2027) supports explosive growth and further buying.

If you are thinking of companies like Broadcom, Marvell, Qualcomm, Nvidia, AMD, and Apple, all of these companies rely on TSMC for at least some of their products.

The next stock I will highlight is Nvidia. Nvidia, of course, is the most prominent name in the artificial intelligence boom. The company that started it all with its own accelerated graphics processing units (GPUs), which enabled the optimization of large language models and created the possibilities we see today.

Nvidia's sales have boomed and continue to do so. I calculated the fair value of this company at $332 per share. I expect explosive growth in every sense of the word here.

I estimate Nvidia's free cash flow at $96 billion in 2026, rising to over $402 billion by 2030.

Most of its products are sold out for this year and next, and it's already running low for potential product releases in 2028.

Companies like Nvidia have greater transparency in their sales because they have a relatively smaller number of customers and are in talks with them about long-term agreements, where these customers make deposits and arrange and sign deals for orders that extend for many years into the future.

Therefore, the risks associated with those future projections, although still high, are lower than they might otherwise be.

Given its current market price of $225 per share, I calculated the probability of Nvidia's stock rising by more than 47% over the next 12 to 18 months.

I own Nvidia shares in my portfolio and I am interested in buying more of them.