GPU use cases have since emerged as important semiconductors used in artificial intelligence to run large language models. Nvidia not only offers AI GPUs, but also a software platform, Cuda, used for AI model development and training. Nvidia is also expanding its data center networking solutions, helping to tie GPUs together to handle complex workloads.
We grade stocks based on past performance, their future growth potential, intrinsic value, dividend history, and overall financial health.
The chart below shows how we grade NVIDIA (NVDA) across the board compared to its closest peers.
Benzinga Edge stock rankings give you four critical scores to help you identify the strongest and weakest stocks to buy and sell.
94.2
Growth measures a stock's combined historical expansion in earnings and revenue across multiple time periods, with emphasis on both long-term trends and recent performance.
5.33
Value is a percentile-ranked composite metric that evaluates a stock's relative worth by comparing its market price to fundamental measures of the company's assets, earnings, sales, and operating performance.
73.62
Momentum measures a stock's relative strength based on its price movement patterns and volatility over multiple timeframes, ranked as a percentile against other stocks.
97.88
Quality is a composite ranking that evaluates a company's operational efficiency and financial health by analyzing historical profitability metrics and fundamental strength indicators on a percentile basis relative to peers.
See how NVIDIA compares to its peers in these key performance metrics from Benzinga Rankings.
Below, you can see that analysts are estimating a 12-month price target range of $215.00 - $352.00 with an average of $263.34
Recent Ratings for NVIDIA (NVDA)
Earnings History (3 years)
It is important to look at a companies earnings history to see not only if they are profitable, but if their earnings are growing.We measure the health of a company based on how profitable they are and their ability to cover both their short-term and long-term debts. The key indicators that we use are the Operating Margin, Quick Ratio, and Debt-to-Equity ratio relative to the companies peers
Operational Margin 0.6317
The operating margin measures how much profit a company makes after it spends money on wages, materials or other administrative expenses but before interest and taxes. It is a good representation of how efficiently a company is able to generate profit from its core operations.
Quick Ratio 3.6049
The quick ratio measures how much of a company's debt, that is due in less than 1 year, can be covered using its cash equivalents, marketable securities, and money that is currently owed to them (accounts receivables).
A company with a quick ratio of less than 1.00 does not, in many cases, have the capital on hand to meet its short-term obligations if they were all due at once, while a quick ratio greater than one indicates the company has the financial resources to remain solvent in the short term.
Debt-to-Equity 0.3554
Debt-to-equity is calculated by dividing a company's total liabilities by its shareholders equity. It is a measure of the degree to which a company is financing its operations through debt versus wholly owned funds. Generally speaking, a D/E ratio below 1.0 would be seen as relatively safe, whereas ratios of 2.0 or higher would be considered risky.
Ideally, we would like to see a company have a long history of consistently high dividend payouts that have grown at a consistent rate. From here we want to be confident that this sort of dividend growth and consistency will persist into the future.
The chart below shows the historical trend in NVIDIA (NVDA) dividend yield on an annual basis.
The two main factors that we consider when analyzing past performance is overall return and volatility
Using these two metrics, we can determine if this stock gave its investors enough return for the risk that they took on by owning it. This is measured by the sharpe ratio, which has been used as a primary measure of risk/reward trade-off for almost 60 years.
This ratio can be interpreted as the amount of return an investor has received for the amount of risk that they took on by owning the stock over that timeframe.
NVIDIA (NVDA) sharpe ratio over the past 5 years is 3.2481 which is considered to be above average compared to the peer average of 0.8372
Based on our data, NVDA's options trades have recently carried more negative sentiment than positive.
The main purpose of an income statement is to convey details of profitability and business activities. Below, is NVDA's income statement for the previous four years along with its trailing-twelve- month profit & loss.
It breaks down what company owns (assets) and what a company owes (liabilities), in order to give investors an overview of its capital structure.
