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NVIDIA Corp
NASDAQ:NVDA

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NVIDIA Corp
NASDAQ:NVDA
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Price: 208.27 USD 4.32% Market Closed
Market Cap: $5.1T

P/E

42.2
Current
20%
Cheaper
vs 3-y average of 52.6

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
42.2
=
Market Cap
$4.3T
/
Net Income
$120.1B

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
42.2
=
Market Cap
$4.3T
/
Net Income
$120.1B

Valuation Scenarios

NVIDIA Corp is trading below its 3-year average

If P/E returns to its 3-Year Average (52.6), the stock would be worth $259.84 (25% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-46%
Maximum Upside
+40%
Average Upside
7%
Scenario P/E Value Implied Price Upside/Downside
Current Multiple 42.2 $208.27
0%
3-Year Average 52.6 $259.84
+25%
5-Year Average 59.2 $292.49
+40%
Industry Average 45.6 $225.42
+8%
Country Average 22.9 $112.97
-46%

Forward P/E
Today’s price vs future net income

Today's Market Cap Net Income Forward P/E
$4.3T
/
Jan 2026
$120.1B
=
42.2
Current
$4.3T
/
Jan 2026
$116.1B
=
37.2
Forward
$4.3T
/
Jan 2027
$204.7B
=
21.1
Forward
$4.3T
/
Jan 2028
$276B
=
15.6
Forward
$4.3T
/
Jan 2029
$337.1B
=
12.8
Forward
$4.3T
/
Jan 2030
$374.7B
=
11.5
Forward
$4.3T
/
Jan 2031
$413.5B
=
10.4
Forward
$4.3T
/
Jan 2032
$450.1B
=
9.6
Forward
$4.3T
/
Jan 2033
$498.7B
=
8.7
Forward
$4.3T
/
Jan 2034
$557.2B
=
7.7
Forward

Forward P/E shows whether today’s P/E still looks high or low once future net income are taken into account.

Market Distribution

Higher than 80% of companies in the United States of America
Percentile
80th
Based on 8 489 companies
80th percentile
42.2
Low
0 — 15.3
Typical Range
15.3 — 33.2
High
33.2 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 15.3
Median 22.9
70th Percentile 33.2
Max 1 826 183.3

NVIDIA Corp
Glance View

NVIDIA Corporation, founded in 1993 by Jensen Huang, Chris Malachowsky, and Curtis Priem, began its journey with a singular focus on graphics processing units (GPUs) for gaming. This venture coincided with the boom in demand for high-quality visuals, propelling the company to a prominent position in the tech industry. With gaming as its initial stronghold, NVIDIA’s GPUs quickly became the go-to choice for rendering stunning graphics, making the immersive experiences of modern video games possible. However, as technology advanced, so did NVIDIA's appetite for innovation, with the company diversifying its portfolio to apply its GPU technology to artificial intelligence (AI), data centers, and autonomous vehicles. This strategic pivot allowed NVIDIA to transform from a niche player in the gaming industry into a dominant force across multiple high-growth sectors. Earning revenue primarily through selling its sophisticated GPU hardware and software solutions, NVIDIA capitalizes on several thriving markets. Its gaming segment continues to be a cash cow, fueled by a constant stream of enthusiasts and professionals alike who seek high-performance computing power. Meanwhile, in the data center and AI segments, NVIDIA sells its technology to cloud service providers, enterprises, and researchers eager to harness the power of AI and deep learning. These innovations demand powerful computation capabilities, which NVIDIA’s technology gracefully delivers. The company's reach extends to automation, where it partners with automobile manufacturers to integrate AI systems into vehicles, contributing to the nascent autonomous driving market. Through a blend of hardware prowess and forward-thinking software development, NVIDIA has positioned itself as more than just a graphics chip producer; it’s a versatile tech powerhouse that caters to the future of computing.

NVDA Intrinsic Value
177.61 USD
Overvaluation 15%
Intrinsic Value
Price $208.27
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