[cykros]

The "E" in "PE" is earnings. It all boils down to profit margin. And lately, their input costs have been fairly high, what with COVID supply chain disruption.

Part of what's let NVIDIA perform a bit better (if we're chalking its market cap up to performance rather than hype -- the truth is likely somewhere in between) is that they actually have a bit more of their business tied to software these days, which doesn't typically suffer from raised input costs. Sell more software, and your profits rise a LOT faster, because 100 licenses worth of software has a similar input cost as 1 license.