NVIDIA Corporation (NASDAQ: NVDA)
Financial Analysis | April 21, 2025
Company Overview
NVIDIA is the world’s leading designer of graphics processing units (GPUs) powering gaming, professional visualization, data centers, and AI applications. Founded in 1993, the company has expanded from PC graphics into high‑performance computing, cloud AI services, autonomous vehicles, and robotics. NVIDIA’s accelerated computing platform—anchored by its CUDA ecosystem—drives adoption across industries, cementing its role at the forefront of the AI revolution.
Key Statistics
Market Cap
$2.48 T
Revenue (TTM)
$130.50 B
Net Income (TTM)
$72.88 B
Shares Out.
24.40 B
EPS (TTM)
$2.94
P/E Ratio
34.52
Forward P/E
22.86
Dividend Yield
0.04%
Beta
1.96
Ex-Dividend
Mar 12, 2025
Earnings Date
May 21, 2025
NVIDIA’s market capitalization has soared above $2 trillion, reflecting its dominance in GPUs and rapid expansion into AI/data center markets. Strong profitability—over 55% net margin—underscores its pricing power and lean cost structure.
Quarterly Revenue & Net Income
Revenue grew from $79.8 B in Q1 2025 to $130.5 B in Q4 2025, driven by accelerating AI/data center sales. Net income climbed in tandem, underscoring strong operating leverage as fixed R&D and fab investments scale.
Margin Trends & Segment Mix
Gross margins have held above 74%, reflecting NVIDIA’s premium GPU ASPs and efficient supply chain. Data center represents ~58% of revenue, eclipsing gaming and professional markets—highlighting NVIDIA’s pivot to AI.
Valuation Metrics
At a trailing P/E of 34.5 and forward P/E of 22.9, NVIDIA trades at a premium to tech peers. The high PEG (0.62) indicates market expectations for sustained double‑digit EPS growth driven by AI adoption.
Balance Sheet Snapshot
With $43 B cash, $10 B debt, and net cash of ~$33 B, NVIDIA’s liquidity supports aggressive R&D, strategic M&A, and shareholder returns via buybacks and dividends.
52‑Week Stock Performance
The stock ranged from $75.6 to $142.6 over 52 weeks, with a recent pullback to $101.5. Volatility (beta 1.96) reflects sensitivity to AI adoption cycles and semi‑equipment supply constraints.
Risks & Opportunities
Risks
Concentration in AI/data center; segment shift could slow.
Supply chain disruptions (foundry constraints).
Intense competition from AMD, Intel, and custom chips.
High valuation sensitive to any slowdown.
Opportunities
Explosive AI/data center growth.
New GPUs for automotive/robotics.
Software ecosystem expansion (CUDA, AI frameworks).
Potential M&A to fill portfolio gaps.
Disclaimer: This analysis is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence or consult a licensed financial advisor.
