Could Nvidia stock fall to $40 in the next few years from the roughly $120 level it is at currently? Does this sound absolutely ridiculous? Consider this - about a year ago, NVDA stock was trading at around $50,

But despite substantial sales and earnings beats in the quarter, Nvidia stock still lost ground following the report. With the company's share price losing ground on the heels of a blockbuster Q2 report, it's not unreasonable to wonder whether the red-hot AI leader may have finally hit its valuation peak.

Nvidia is “taking shareholder interests to heart,” one analyst says, but another expert notes the buyback program is a strange look when the CEO is selling stock.