Nvidia Corp. (NASDAQ:NVDA) has pulled back from record high levels in recent sessions and yet has been a standout among stocks. An analyst on Thursday compared the stock with an American collegiate basketball legend.

What Happened: "Nvidia is the Caitlin Clark of the stock market," said Charlie Bilello, Creative Planning's Chief Market Strategist.

The comparison came in the wake of Creative Planning's CEO Peter Mallouk sharing a chart comparing the points scored and assists by Clark and 9,718 Division 1 college hoops players this season.

The star basketball's performance was a cut above the rest, going by the plotting. "That green dot in the far upper right corner is Caitlin Clark," Mallouk said.

Bilello drew a parallel between Nvidia and Clark by plotting the past 10-year stock performances and earnings per share growth of S&P 500 companies. In terms of stock performance, Nvidia outshone all others by a mile. Over the past 10 years, the stock has returned about 2,070%.

Incidentally, newbie S&P 500 stock Super Micro Computer, Inc. (NASDAQ:SMCI) was a distant second.

In terms of earnings per share, Starbucks Corp. (NASDAQ:SBUX), T-Mobile US, Inc. (NASDAQ:TMUS) and Amazon, Inc. (NASDAQ:AMZN) had greater earnings per share growth over the ten years but their stock performances paled before Nvidia's.

Nvidia is the Caitlin Clark of the stock market. $NVDA pic.twitter.com/x5X8PYc5mQ

— Charlie Bilello (@charliebilello) April 12, 2024

Why It's Important: Nvidia's stock run is likely to continue in the near-to-medium term as it holds a near monopoly position in the market for AI accelerators, according to analysts. Deepwater Asset Management's Gene Munster sees the AI bubble lasting for at least three to five years.

The average analysts' price target for Nvidia, based on data compiled by TipRanks, is $989.53, with the highest price target at $1,400. The average price target suggests scope for nearly 10% upside over the next 12 months.

Nvidia's earnings growth in fiscal 2024 was an astounding 586%, thanks to strong sales of its high-performance chips that power AI applications, inference and training, as well as its mouth-watering margins.

The stock has added about 83% for the year to date. In premarket trading on Friday, the stock slipped about 0.55% to $901.21, according to Benzinga Pro data.

Photo via Shutterstock

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