US Equities Analysis

NVDA — Nvidia

Research evidence pack

Source-backed valuation visuals

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2. Company Fundamentals

2.1 Competitiveness

Metric Value
Free Float 23.23B
Short Int % Utilisation 1.29%

2.2 Growth

Metric Value
EV/EBITDA 29.00

2.3 Management

Role Metric
Consensus Rating N/A

2.4 Return

Metric Value
Expected Return (Ann.)* 33.92%
Risk / Std Dev (Ann.)* 36.88%
1-Year Price Return* 24.94%

Latest Market Data (as of 2026-08-14, US Eastern time):

Metric Value
Last Price $225.16
52-Week Range $164.07 – $236.54
Observation Count 251 trading days

The return and risk statistics use daily adjusted closes from the retrieved one-year series and annualise daily moments using 252 trading days. The last price is the latest regular-market price reported for the stated date. Source: Yahoo Finance market data.

2.5 FCFF DCF Valuation

Valuation basis: This research model follows a five-year, unlevered FCFF DCF. It starts from reported annual operating inputs, forecasts revenue and operating cash conversion under an explicit mechanical policy, discounts FCFF at WACC, applies a Gordon-growth terminal value, and bridges enterprise value to an indicative common-equity value per share. It is an analytical estimate rather than a recommendation or personalised target price.

Step 1 — Forecast Operating Profit and NOPAT

Reported operating input Value
Revenue $215.94B
Prior annual revenue $130.50B
EBIT $141.71B
Tax rate 15.12%
NOPAT = EBIT × (1 − tax rate) $120.29B
Forecast start-growth basis 15.00%
Forecast policy latest reported annual revenue growth, bounded to -10.00% / 15.00%

Step 2 — Calculate FCFF

Current FCFF building block Value
NOPAT $120.29B
Add: depreciation & amortisation $2.84B
Less: capital expenditure -$6.04B
Less/(add): working-capital cash-flow movement -$15.95B
Current unlevered FCFF $101.14B

Explicit FCFF forecast

Forecast year Revenue growth NOPAT D&A Capex Change in NWC FCFF Present value
1 15.00% $138.33B $3.27B -$6.95B -$18.34B $116.31B $107.59B
2 11.88% $154.76B $3.66B -$6.74B -$20.52B $131.15B $103.81B
3 8.75% $168.30B $3.98B -$6.22B -$22.31B $143.74B $97.36B
4 5.62% $177.76B $4.20B -$5.38B -$23.57B $153.01B $88.68B
5 2.50% $182.21B $4.31B -$4.31B -$24.16B $158.05B $78.38B

Step 3 — Determine the Discount Rate (WACC)

WACC input Value
Risk-free rate 4.71%
Equity risk premium assumption 5.50%
Beta 2.21
Cost of equity 16.89%
Pre-tax cost of debt 2.46%
WACC 16.86%
WACC validation requires assumption review

Step 4 — Estimate Terminal Value

Terminal-value input Value
Perpetuity growth rate 2.50%
Terminal value $1,127.83B
Implied terminal EV / EBITDA 5.15x
Terminal value as % of enterprise value 52.09%

Step 5 — Discount Cash Flows to Enterprise Value

Enterprise-value component Value
Present value of explicit FCFF $475.83B
Present value of terminal value $517.42B
Indicated enterprise value $993.25B
Discounting convention mid-year for explicit FCFF; terminal value discounted at year-end five

Step 6 — Convert Enterprise Value to Equity Value

Equity bridge Value
Indicated enterprise value $993.25B
Less: gross interest-bearing debt $11.04B
Add: cash and equivalents $62.56B
Add: affiliate investments $0.00
Less: minority interests $0.00
Indicated common equity value $1,044.77B

Step 7 — Calculate Indicative Value Per Share

Per-share output Value
Shares used 24,514,000,000.00
Share-count basis reported diluted weighted-average shares
Current market price $220.41
DCF indicative value per share $42.62
Indicative value vs. market price -80.66%

Model Integrity Checks

Check Result
Perpetuity growth is below the risk-free rate pass
Perpetuity growth is below WACC pass
WACC is within the configured operating-company range review required
Terminal-year FCFF is positive pass
Terminal capex converges to D&A pass
Terminal-value concentration within review band
Implied price differs from spot by more than 30% review required

2.6 Investor-Style Research Screen

Educational screen Result
Buffett-inspired cash-quality checks 3/4 evidenced checks
Lynch-inspired balance-and-growth checks 4/4 evidenced checks

Data lineage: Yahoo Finance public market and reported-statement data; retrieval timestamp: 2026-08-18 17:44:07.997861 UTC; latest reported fiscal period: 2026-01-31 00:00:00. Default assumptions: five-year forecast, mid-year discounting for explicit FCFF, a maximum 2.50% perpetuity-growth rate below both WACC and the risk-free rate, historical operating-ratio persistence, and capex convergence to D&A by year five. No sell-side consensus or management guidance is substituted for reported inputs. This is research and analysis only, not personalized financial advice.

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