Nvidia Stock Soars on AI Hype But Faces Risks From High Valuation and Unproven Markets

Nvidia stock has seen huge gains this year, but may need a new catalyst to keep momentum going after recent consolidation

Applications like AI and autonomous driving have fueled Nvidia's rise, but face challenges around reliability and regulation

Generative AI like ChatGPT, while hyped currently, could prove unreliable and less beneficial to Nvidia long-term

Valuation is very high after 300% gains over past year, with P/E over 110x versus semiconductor industry average

While analysts remain overwhelmingly bullish, high valuation and need for fresh catalysts make risk-reward profile less appealing now