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NVIDIA Corp
NASDAQ:NVDA

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NVIDIA Corp
NASDAQ:NVDA
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Price: 199.88 USD -1.08% Market Closed
Market Cap: $4.9T

EV/EBIT

36.7
Current
20%
Cheaper
vs 3-y average of 45.9

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
36.7
=
Enterprise Value
$4.3T
/
EBIT
$130.9B

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
36.7
=
Enterprise Value
$4.3T
/
EBIT
$130.9B

Valuation Scenarios

NVIDIA Corp is trading below its 3-year average

If EV/EBIT returns to its 3-Year Average (45.9), the stock would be worth $250.1 (25% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-47%
Maximum Upside
+33%
Average Upside
4%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 36.7 $199.88
0%
3-Year Average 45.9 $250.1
+25%
5-Year Average 48.9 $266.69
+33%
Industry Average 38.7 $210.78
+5%
Country Average 19.6 $106.9
-47%

Forward EV/EBIT
Today’s price vs future ebit

Today's Enterprise Value EBIT Forward EV/EBIT
$4.3T
/
Jan 2026
$130.9B
=
36.7
Current
$4.3T
/
Jan 2026
$137.3B
=
31
Forward
$4.3T
/
Jan 2027
$245.4B
=
17.4
Forward
$4.3T
/
Jan 2028
$319.1B
=
13.4
Forward
$4.3T
/
Jan 2029
$382.6B
=
11.1
Forward

Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
Close
Market Cap EV/EBIT P/E
US
NVIDIA Corp
NASDAQ:NVDA
4.9T USD 36.7 40.5
US
Broadcom Inc
NASDAQ:AVGO
1.9T USD 68.8 76.3
TW
Taiwan Semiconductor Manufacturing Co Ltd
TWSE:2330
53.2T TWD 23.2 28.2
US
Micron Technology Inc
NASDAQ:MU
506.9B USD 17.9 21
KR
SK Hynix Inc
KRX:000660
701.7T KRW 17.6 19.4
US
Advanced Micro Devices Inc
NASDAQ:AMD
463.7B USD 123.3 107
US
Intel Corp
NASDAQ:INTC
330.9B USD -14 752 -1 239.3
US
Texas Instruments Inc
NASDAQ:TXN
211.5B USD 35.9 42.5
US
Analog Devices Inc
NASDAQ:ADI
183.2B USD 53.5 67.7
UK
Arm Holdings PLC
NASDAQ:ARM
186.4B USD 208.8 232.7
US
Qualcomm Inc
NASDAQ:QCOM
145.6B USD 12.2 27.1
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
US
NVIDIA Corp
NASDAQ:NVDA
Average EV/EBIT: 59.8
36.7
43%
0.9
US
Broadcom Inc
NASDAQ:AVGO
68.8
70%
1
TW
Taiwan Semiconductor Manufacturing Co Ltd
TWSE:2330
23.2
28%
0.8
US
Micron Technology Inc
NASDAQ:MU
17.9
87%
0.2
KR
SK Hynix Inc
KRX:000660
17.6
52%
0.3
US
Advanced Micro Devices Inc
NASDAQ:AMD
123.3
94%
1.3
US
Intel Corp
NASDAQ:INTC
Negative Multiple: -14 752 N/A N/A
US
Texas Instruments Inc
NASDAQ:TXN
35.9
18%
2
US
Analog Devices Inc
NASDAQ:ADI
53.5
38%
1.4
UK
Arm Holdings PLC
NASDAQ:ARM
208.8
58%
3.6
US
Qualcomm Inc
NASDAQ:QCOM
12.2
4%
3

Market Distribution

Higher than 81% of companies in the United States of America
Percentile
81th
Based on 8 638 companies
81th percentile
36.7
Low
0 — 13.6
Typical Range
13.6 — 27.8
High
27.8 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 13.6
Median 19.6
70th Percentile 27.8
Max 1 826 183.2

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 11%
Intrinsic Value
Price $199.88
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