NVIDIA Corporation
Mega Cap · Technology · Semiconductors
$225.16−$0.14 (-0.06%)
NVIDIA Corporation
Mega Cap · Technology · Semiconductors
$225.16−$0.14 (-0.06%)
Stock analysis
Accumulate
MED CONVICTION
- Nvidia’s proposed financing network could give AI developers more money to buy its systems, extending demand beyond their current capital budgets.
- Nvidia is growing revenue and earnings much faster than comparable companies, giving the business room to keep increasing profit despite spending concerns.
Past performance
3M
+5.9%
6M
+30.3%
1Y
+23.9%
Set alerts
Add zonebelow $225
Trim zoneabove $311
Support · R1
$213
5.2% belowResistance · R2
$226
0.4% aboveUnderstand NVDA
1.How does the business make money?NVIDIA designs high-performance chips, systems, and software used to train and run artificial intelligence, mainly in large data centers. It also serves gaming, professional visualization, and automotive markets, but AI infrastructure is now the central profit engine; manufacturing is largely outsourced to partners.
2.How are the financials doing?They are exceptionally strong: sales, earnings, and cash generation continue to grow rapidly, while very high margins show substantial pricing power. The balance sheet is also comfortably positioned, with far more cash than debt, though maintaining this pace will become harder as the business gets larger.
3.What is the market expecting?Investors are still expecting powerful growth, and analyst opinion remains strongly favorable, but the recent share-price weakness shows that confidence has become less automatic. The valuation is less demanding relative to expected growth than it was at its peak, yet the market still needs NVIDIA to deliver consistently strong results.
4.What’s helping the business grow?Cloud companies and other large organizations are expanding AI data centers, driving demand for NVIDIA’s chips, networking equipment, and software ecosystem. Its strong developer adoption, rapid product releases, and proposed financing network could help customers find larger budgets and extend demand beyond their current plans.
5.What could hurt the business?The biggest risk is that cloud providers build more AI capacity than they can use, then slow or delay orders. Competition, export restrictions affecting China, supply constraints, and customers developing their own chips could also pressure growth, margins, or NVIDIA’s current leadership; there is not enough current evidence to know how durable today’s spending will be.
Stock Fundamentals & Key Indicators
52-week range
Low$164.07
High$236.54
Today $225.16
RSI (14)
75.4Overbought
03070100
Overall score
87/100
Reported growth
Revenue growth (TTM)70.7
Sales are growing ahead of the sector average of 23.5%, meaning the business is taking share from peers.
EPS growth (TTM)109.6
Profit per share is growing ahead of the sector average of 33.4%.
EPS growth (Q/Q)213.4
Earnings grew at a strong pace versus last quarter.
Forward outlook
EPS forecast (5Y)45.5
Analysts expect earnings growth ahead of the sector average of 39.4% over the next 5 years.
EPS next year39.9
Analysts expect a strong pace of earnings growth next year.
Analyst Rating and Sentiment
Analyst price targets
Lowest
$180
Current price
$225.16
Median target
$300
Highest
$500
LowHigh
Reddit buzz
mixed335 posts about NVDA
50/100
mixed
NVDA remains a major AI trade and is still attracting YOLO buying, but discussion increasingly focuses on a forward-valuation bear case. The concern is that hyperscaler data-center commitments could be excessive, causing future compute demand and earnings expectations to disappoint.
Talking points
- Continued AI accelerator demand
- Potential buying opportunity after an AI hardware sell-off
- Risk of hyperscaler overinvestment in data centers
Operating Record
Revenue
What's working
- Cash exceeds debt by $68.2B, leaving a net cash buffer, a good sign.
- Forward P/E: Investors aren't pricing in much earnings growth, so there's room to be pleasantly surprised.
What to watch
- Price / sales: Revenue alone can't justify this price; profits need to catch up fast.
- Price / FCF: Cash generation hasn't caught up to the price tag yet.
What the market charges
Forward P/E
Favorable · 41% below avg
22.43x
Price / sales
Rich · Priced well above what its revenue alone supports
21.40x
Price / FCF
Rich · Priced far above what its cash flow currently supports
45.55x
EV / EBITDA
Rich · Operating earnings don't yet support this price
32.53x
How efficiently it compounds
ROIC
Strong · Comfortably clears the bar for efficient capital use
104.7%
ROE
Favorable · 114.3% - strong capital efficiency
114.3%
Debt / equity
Favorable · 0.07 - strong leverage
0.07x
Current ratio
Strong · Comfortable room to cover bills due within a year
3.44x
Earnings· May 20
Full report →NVIDIA beats Q1 estimates with 85% revenue growth, strong Q2 guidance amid AI-driven demand
Scenario odds · next 30–90 days
Base case leads · 45%Bull40%
Sustained AI demand drives revenue above guidance, expanding margins and validating growth thesis.
Base45%
Company meets Q2 guidance with steady growth; AI demand remains strong but concentration risk persists.
Bear15%
Revenue growth slows sharply due to loss of key AI customers or geopolitical disruptions, pressuring margins.
Peer Comparison
| Company | Mkt cap | P/E | Rev growth | Score |
|---|---|---|---|---|
| $5.42T | 34.3 | +70.7% | 87 |
 | $991.12B | 19.9 | +167.0% | 93 |
 | $2.18T | 30.3 | +30.6% | 83 |
 | $46.60B | 100.8 | +205.7% | 83 |
 | $3.71T | 27.9 | +17.8% | 82 |
What is moving NVDA
News
1d ago · Applied Materials, Inc. via Yahoo FinanceStock Market Today: Nasdaq Slips On Retail Sales Gloom; Nvidia Eyes Robotics Wave
Bearish
1d ago · Microsoft Corporation via Yahoo FinanceTiger Global Management cuts stakes in Big Tech, buys into SpaceX
Mixed
1d ago · Meta Platforms, Inc. via NasdaqNoteworthy Friday Option Activity: AVGO, META, NVDA
Mixed- 1d ago · Broadcom Inc. via Yahoo Finance
What Separates AVGO From Its Peers Right Now
Mixed 
1d ago · Netflix, Inc. via Nasdaq
Solana Has Plans to Become 'The Netflix of Finance.' What Does That Mean for the Price of SOL?
Bearish- 1d ago · Marvell Technology Inc. via Yahoo Finance
Marvell's Year Was Made In Interconnect, Not Yet In Custom Silicon
Bullish 
1d ago · Morgan Stanley via Yahoo Finance
Nvidia’s $500 Billion Plan Envelops Wall Street in Its AI Frenzy
Mixed