By Simply Wall St
Publication Date: 2025-12-13 14:09:00
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If you are wondering whether NVIDIA is still worth buying after its massive run, you are not alone. We are going to unpack what the current price actually implies about future growth.
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Even after pulling back around 4.1% over the last week and roughly 9.7% over the past month, the stock is still up about 26.5% year to date and 30.4% over the last year, with multi year returns that have topped 900%.
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Recently, NVIDIA has stayed in the spotlight as a key enabler of AI infrastructure and data center build outs, with major cloud providers and enterprise customers racing to secure its GPUs. At the same time, regulatory discussions around high end chip exports and competitive headlines from rival chipmakers have added some volatility and nuance to how the market prices that growth story.
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Right now, NVIDIA scores just 2/6 on our valuation checks, which suggests the market is paying up for its prospects, but not every metric says it is significantly overpriced. Next we will walk through different valuation lenses, and then wrap up with a more holistic way to judge whether the current price really matches the company narrative.
NVIDIA scores just 2/6 on our valuation checks. See what other red flags we found in the full valuation breakdown.
A Discounted Cash Flow, or DCF, model estimates what a company is worth today by projecting its future cash flows and discounting them back to the present. In NVIDIA’s case, the model uses a 2 Stage Free Cash Flow to Equity…
