US · Nasdaq · NVDA
NVIDIA (NVDA) stock analysis: valuation and financials
Technology · Semiconductors
$227.10 -0.9% Price as of Oct 12, 2026
Wide-moat AI compute platform: FY2026 revenue $215.9B (+65.5%), 74.7% TTM gross margin, $23.2B net cash; but 56% receivables concentration and 18x sales leave base-case upside at 9.0%.
- Market cap
- $5.5T
- P/E
- 28.4x
- EV/Sales
- 18.0x
- FCF yield
- 2.3%
- Dividend yield
- 0.4%
- 52-week range
- $165.17 – $239.24
- Next earnings
- Nov 18, 2026
Research as of Oct 12, 2026
Business quality scorecard
- Growth100
- Profitability100
- Cash flow81
- Balance sheet100
- Capital allocation94
- Innovation69
- Valuation64
0–100, computed from reported financials; higher is better, and a higher valuation score means cheaper.
How it makes money
Cloud providers, AI model makers, enterprises, gamers and automakers pay for accelerated-computing systems, GPUs, networking and software; Compute & Networking is the profit engine — 89.6% of revenue, 93.4% of segment profit, 67.3% segment margin.
Financials by year
| FY2022Feb 2021–Jan 2022 | FY2023Feb 2022–Jan 2023 | FY2024Feb 2023–Jan 2024 | FY2025Feb 2024–Jan 2025 | FY2026Feb 2025–Jan 2026 | |
|---|---|---|---|---|---|
| Revenue | $26.9B | $27.0B | $60.9B | $130.5B | $215.9B |
| Revenue growth | +61.4% | +0.2% | +125.9% | +114.2% | +65.5% |
| Gross margin | 64.9% | 56.9% | 72.7% | 75.0% | 71.1% |
| Operating margin | 37.3% | 15.7% | 54.1% | 62.4% | 60.4% |
| Net income | $9.8B | $4.4B | $29.8B | $72.9B | $120.1B |
| Free cash flow | $8.1B | $3.8B | $27.0B | $60.9B | $96.7B |
| FCF margin | 30.2% | 14.1% | 44.4% | 46.6% | 44.8% |
Amounts in USD · What is free cash flow?
Margins Gross margin fell to 71.1% in FY2026 from 75.0%, operating margin 60.4% vs 62.4%; TTM 74.7% and 65.2%. Cause: Hopper HGX-to-Blackwell full-scale system mix plus a $4.5B H20 inventory charge; Blackwell Ultra mix restored Q2 FY2027 gross margin to 75.0%.
- Cash flow WatchTTM operating cash flow $134.4B versus net income $192.9B, a cash conversion of 87.5%; FY2026 was $102.7B versus $120.1B. The gap reflects working capital plus non-cash unrealized equity gains booked in net income.
- Debt LowNet cash of $23.2B, net debt/EBITDA -0.12x. TTM total debt is $33.4B against $22.4B of cash and $34.1B of short-term investments; leverage level is net cash.
Balance sheet Leverage · Net cash
- Cash & short-term investments
- $56.6B
- Total debt
- $33.4B
- Net cash
- $23.2B
- Interest coverage
- 425.8x
- Current ratio
- 4.6x
As of Jul 26, 2026 · Amounts in USD · How to read a balance sheet
Management and track record
- Management StrongExecution: FY2026 revenue $215.9B, up 65.5% yoy, five-year CAGR 66.9%; net margin 55.6%; ROIC 95.3%, up 73.96pp over three years.
- Credibility HighRevenue beat the top of guided range in all five quarters on record: Q2 FY2026 guided $45.0B +/-2% vs $46.7B actual; Q2 FY2027 guided $91.0B +/-2% vs $96.2B.
Of 10 guided figures checked: 5 beat, 5 in range, 0 missed.
Valuation range
Implied value per share · Price when researched: $227.10
Each scenario assumes five years of revenue growth, an FCF margin and an exit multiple, discounted to today. The assumptions and sensitivities are in the full report.
The full report also covers
- Revenue, growth and outlook of each segment
- Moat and main competitors
- Key risks
- Capital allocation: where the free cash flow went
- What management promised, and what they delivered
- Scenario assumptions and sensitivities
- A source for every claim
- Ask AI about this company
The full report is for members.