NVIDIA Corporation

SNSE:NVDA Stock Report

Market Cap: US$3.4t

NVIDIA Valuation

Is NVDA undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of NVDA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NVDA ($135.97) is trading above our estimate of fair value ($87.55)

Significantly Below Fair Value: NVDA is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NVDA?

Key metric: As NVDA is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for NVDA. This is calculated by dividing NVDA's market cap by their current earnings.
What is NVDA's PE Ratio?
PE Ratio53.2x
EarningsUS$63.07b
Market CapUS$3.36t

Price to Earnings Ratio vs Peers

How does NVDA's PE Ratio compare to its peers?

The above table shows the PE ratio for NVDA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average84.9x
AVGO Broadcom
183.7x29.7%US$1.1t
2330 Taiwan Semiconductor Manufacturing
27.3x19.6%NT$28.3t
AMD Advanced Micro Devices
111.3x40.0%US$203.2b
QCOM QUALCOMM
17.3x7.1%US$174.7b
NVDA NVIDIA
53.2x25.1%US$3.4t

Price-To-Earnings vs Peers: NVDA is good value based on its Price-To-Earnings Ratio (53.2x) compared to the peer average (84.9x).

Price to Earnings Ratio vs Industry

How does NVDA's PE Ratio compare vs other companies in the Global Semiconductor Industry?

14 CompaniesPrice / EarningsEstimated GrowthMarket Cap
NVDA 53.2xIndustry Avg. 31.6xNo. of Companies89PE020406080100+
14 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: NVDA is expensive based on its Price-To-Earnings Ratio (53.2x) compared to the Global Semiconductor industry average (31.6x).

Price to Earnings Ratio vs Fair Ratio

What is NVDA's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NVDA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio53.2x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate NVDA's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst NVDA forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$135.97
US$172.80
+27.1%
10.2%US$220.00US$130.00n/a54
Dec ’25US$139.00
US$171.08
+23.1%
10.3%US$220.00US$125.00n/a54
Nov ’25US$139.57
US$150.70
+8.0%
13.0%US$200.00US$90.00n/a53
Oct ’25US$117.00
US$149.80
+28.0%
12.7%US$200.00US$90.00n/a53
Sep ’25US$118.31
US$148.68
+25.7%
13.8%US$200.00US$90.00n/a51
Aug ’25US$113.76
US$139.23
+22.4%
17.3%US$200.00US$85.00n/a51
Jul ’25n/a
US$132.34
0%
16.6%US$200.00US$85.00n/a50
Jun ’25n/a
US$119.29
0%
11.8%US$140.00US$75.40n/a50
May ’25n/a
US$99.90
0%
14.2%US$140.00US$62.00n/a51
Apr ’25n/a
US$96.39
0%
15.7%US$140.00US$60.84n/a51
Mar ’25n/a
US$88.04
0%
18.0%US$140.00US$21.17n/a51
Feb ’25n/a
US$66.63
0%
19.9%US$110.00US$21.17n/a49
Jan ’25n/a
US$65.63
0%
19.0%US$110.00US$21.17n/a49
Dec ’24n/a
US$65.29
0%
19.4%US$110.00US$21.17US$139.0050
Nov ’24n/a
US$63.91
0%
19.7%US$110.00US$21.17US$139.5749
Oct ’24n/a
US$63.87
0%
20.0%US$110.00US$21.17US$117.0049
Sep ’24n/a
US$62.97
0%
21.4%US$110.00US$21.17US$118.3149
Aug ’24n/a
US$49.26
0%
17.0%US$76.70US$21.17US$113.7647
Jul ’24n/a
US$46.00
0%
16.9%US$71.00US$21.17n/a45
Jun ’24n/a
US$43.02
0%
21.1%US$60.00US$20.60n/a45
May ’24n/a
US$28.15
0%
14.7%US$35.50US$19.00n/a44
Apr ’24n/a
US$27.51
0%
15.0%US$35.00US$17.50n/a44
Mar ’24n/a
US$25.10
0%
16.6%US$35.00US$11.00n/a41
Feb ’24n/a
US$20.57
0%
20.0%US$32.00US$11.00n/a41
Jan ’24n/a
US$20.25
0%
19.9%US$32.00US$11.00n/a42
Dec ’23n/a
US$20.36
0%
20.6%US$32.00US$11.00n/a41

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/30 02:40
End of Day Share Price 2024/12/27 00:00
Earnings2024/10/27
Annual Earnings2024/01/28

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

NVIDIA Corporation is covered by 98 analysts. 59 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Qun HuangABCI Securities Company Limited
Warren LauAletheia Analyst Network Limited
Brett SimpsonArete Research Services LLP