NVIDIA Corp (NVDA, Financial) has recently captured the attention of investors and financial analysts due to its strong financial performance and strategic market positioning. With shares currently priced at $112.88, NVIDIA Corp has experienced a daily gain of 1.76%, despite a three-month change of -14.32%. A comprehensive analysis, highlighted by the GF Score, indicates that NVIDIA Corp is poised for significant growth in the near future.
Understanding the GF Score
The GF Score is a stock performance ranking system developed by GuruFocus, which evaluates five key aspects of valuation. This score has been shown to correlate closely with the long-term performance of stocks, as evidenced by backtesting from 2006 to 2021. Stocks with higher GF Scores tend to generate better returns than those with lower scores. The GF Score ranges from 0 to 100, with 100 being the highest rank. NVIDIA Corp boasts a GF Score of 99 out of 100, indicating a strong potential for outperformance.
NVIDIA Corp: A Snapshot of Business Operations
NVIDIA Corp is a leading developer of graphics processing units (GPUs) and a full-stack computing infrastructure company. With a market cap of $2,754,342.76 million and sales of $130,497 million, NVIDIA Corp is reshaping industries with its data-center-scale offerings. Traditionally known for enhancing graphics experiences, NVIDIA now offers AI GPUs and a software platform, Cuda, for AI model development and training. The company is also expanding its data center networking solutions, addressing complex workloads such as AI, data analytics, and scientific computing across various industries, including healthcare, telecom, automotive, and manufacturing.
Financial Strength: A Robust Balance Sheet
NVIDIA Corp's Financial Strength rating reflects its resilience against financial volatility, showcasing prudent management of its capital structure. The company's Interest Coverage ratio stands at an impressive 329.77, highlighting its strong ability to meet interest obligations. With an Altman Z-Score of 55.5, NVIDIA Corp demonstrates a robust defense against financial distress. Additionally, a favorable Debt-to-Revenue ratio of 0.08 further solidifies its financial health.
Profitability: Leading the Industry
The Profitability Rank of NVIDIA Corp underscores its impressive ability to generate profit. Over the past five years, the company's Operating Margin has increased by 139.45%, reaching 62.42% in 2025. NVIDIA Corp's Gross Margin has also consistently risen, reaching 74.99% in 2025. The Piotroski F-Score confirms the company's solid financial situation, while a Predictability Rank of 3.0 stars out of five highlights its consistent operational performance.
Growth: Expanding Horizons
NVIDIA Corp's high Growth Rank reflects its commitment to business expansion. The company's 3-Year Revenue Growth Rate of 70.5% outperforms 97.47% of companies in the Semiconductors industry. Additionally, NVIDIA Corp has seen a robust increase in its EBITDA, with a three-year growth rate of 97.9% and a five-year rate of 82.3%, underscoring its ability to drive growth.
Conclusion: A Promising Future for NVIDIA Corp
With its strong financial strength, impressive profitability, and robust growth metrics, NVIDIA Corp is well-positioned for potential outperformance. The company's high GF Score highlights its unparalleled market position and growth potential. For investors seeking companies with strong GF Scores, GuruFocus Premium members can explore more opportunities using the GF Score Screen.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
