NVIDIA is currently trading at a Price/OracleValue™ of 0.86 in January 2026, indicating the stock’s OracleValue™ is undervalued relative to its price despite already reflecting strong AI optimism.
NVIDIA remains the dominant force in AI infrastructure, backed by its GPU leadership, while benefiting from a massive long-term AI and data center growth runway. Near-term catalysts like the upcoming Rubin architecture support continued momentum, although risks from export restrictions, rising competition, and supply chain concentration remain.
Overall, StockOracle™ views NVDA as fundamentally strong with upside potential, but not without execution and geopolitical risks that investors must price in.
NVIDIA’s OracleIQ™ profile reflects an exceptional business, combining high predictability, profitability, growth, financial strength, a wide moat, and an undervalued valuation rank. The company’s dominance across gaming, AI, and data center markets has translated into sustained pricing power, with gross profit margins consistently above 65%. This economic strength is reinforced by aggressive reinvestment, with over $7 billion annually in R&D, enabling NVIDIA to stay ahead in GPU architecture and AI acceleration.
While not a monopoly, NVIDIA’s combination of technological leadership, ecosystem lock-in, and financial firepower explains why it earns such a strong OracleIQ™ score in the AI era.
Nvidia (NVDA) comparison table powered by StockOracle™ January 2026
In the 2025 GPU market, NVIDIA’s dominance is brutal: it captured around 92–94% of discrete GPU shipments. AMD’s share sat in the 6–8% range, while Intel’s presence on discrete graphics cards was at about 1% or less.
Find Out Intel’s & AMD’s OracleIQ™
Financials Trend Chart of Nvidia (NVDA) powered by StockOracle™ January 2026
NVIDIA’s financial trend reveals a level of predictability driven by both scale and earnings quality. Revenue, operating income, and net income have grown in near-perfect sync, confirming a highly scalable business model where rising revenue does not get eroded by costs.
This dynamic became especially pronounced during the 2024–2025 AI inflection, when growth accelerated sharply yet remained structurally consistent rather than erratic. At the same time, NVIDIA’s earnings are backed by real cash, with free cash flow and operating cash flow exceeding net income in recent periods, signaling high-quality profits.
Shares Outstanding of Nvidia (NVDA) powered by StockOracle™ January 2026
Additionally, this growth has not come at the expense of shareholders, as stock-based compensation remains minimal relative to surging profits and cash flow, preserving per-share value and reinforcing the durability of NVIDIA’s financial performance.
Profitability Trend Chart of Nvidia (NVDA) powered by StockOracle™ - January 2026
NVDA scores high on profitability because it isn't just growing; it is also becoming more efficient. NVDA’s margins and returns on capital are expanding, which is a healthy signal of a high-quality business.
NVIDIA’s gross margins have remained consistently above 60% and surged toward roughly 75% in the trailing twelve months, reflecting exceptional pricing power for its AI chips.
Operating margins and net margins have climbed sharply since 2023, with net margins reaching around 53–56%, showing strong operating leverage as revenue growth far outpaces cost increases. At the same time, NVIDIA’s capital efficiency has exploded. Return on equity jumped from about 20% in 2023 to over 100% by 2025, while return on invested capital reached roughly 100%.
Even as assets expanded, efficiency improved, with return on assets rising to around 80%, underscoring how effectively NVIDIA is converting scale into profits.
Projected Growth Rate of Nvidia (NVDA) powered by StockOracle™ - January 2026
From the StockOracle™ lens, Nvidia’s growth remains optimistic. Projections show revenue rising 31.36%, EPS up 26–31%, and cash flow per share expanding 42% over the next few years.
Valuation Chart of Nvidia (NVDA) powered by StockOracle™ - January 2026
The StockOracle™ Valuation Chart enables users to automatically compute NVIDIA's intrinsic value utilizing conventional methodologies such as Discounted Cash Flow (DCF) and Discounted Net Income (DNI).
As of January 2026, NVDA trades at $183.14, meaningfully below its OracleValue™ of $215.55, implying a 17.7% discount based on StockOracle’s™ projections and calculations. This might indicate a potential under-pricing according to OracleValue™.
Intrinsic value is highly sensitive to its underlying assumptions, meaning changes to growth rates,cash flow margins, and discount rate , can materially alter valuation outcomes. Since investors often have differing views on future growth based on their outlook and risk tolerance, some choose to apply more conservative assumptions, particularly around growth, to anchor their analysis around restrained expectations rather than optimistic, best-case scenarios.
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StockOracle™ data suggests that NVIDIA remains a combination of scale, profitability, and structural growth, with fundamentals that continue to grow alongside the expansion of AI and data center demand. While valuation outcomes will naturally vary depending on assumptions and risk tolerance, the underlying signals point to a business with durable competitive advantages and strong financial quality.
For investors, the key question is less about NVIDIA’s position in AI leadership and more about how current expectations align with their own long-term outlook and margin of safety.