Nvidia (NASDAQ: NVDA) stock has been on fire amid the massive demand for its AI chips. That has led to worries of overvaluation amid its 249% gain over the last 12 months.

That could also be worrisome, given the recent history of another AI stock, Tesla (NASDAQ: TSLA). Ark Invest's Cathie Wood predicted a $2,000 per share price for Tesla by 2027 on anticipated demand for its self-driving platform. That forecast has occurred as falling demand for EVs and lower gross margins hamper its stock, which is down 30% in 2024.

Although Nvidia is not invincible, it has not shown any signs of slowing so far. Hence, before assuming that Nvidia will follow Tesla's lead, investors should consider these points.

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Source Fool.com