Why NASDAQ:NVDA Stands Out as a Quality Stock.

In this article we will dive into NVIDIA CORP (NASDAQ:NVDA) as a possible candidate for quality investing. Investors should always do their own research, but we noticed NVIDIA CORP showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

A Deep Dive into NVIDIA CORP's Quality Metrics.

• Over the past 5 years, NVIDIA CORP has experienced impressive revenue growth, with 39.06% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• The ROIC excluding cash and goodwill of NVIDIA CORP stands at 168.0%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• The Debt/Free Cash Flow Ratio of NVIDIA CORP stands at 0.25, reflecting the company's prudent capital structure and cash flow dynamics. This ratio highlights the company's ability to generate robust free cash flow relative to its debt obligations.
• With a favorable Profit Quality (5-year) ratio of 105.0%, NVIDIA CORP showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• NVIDIA CORP has experienced impressive EBIT growth over the past 5 years, with 54.6% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
• NVIDIA CORP has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

How does the complete fundamental picture look for NASDAQ:NVDA?

As part of its analysis, ChartMill provides a comprehensive Fundamental Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various fundamental indicators and properties.

NVDA gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 109 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making NVDA a very profitable company, without any liquidiy or solvency issues. NVDA is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings could make NVDA a good candidate for growth and quality investing.

Our latest full fundamental report of NVDA contains the most current fundamental analsysis.

More quality stocks can be found in our Caviar Cruise screen.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.