Stock fact sheet · data as of
NVIDIA Corporation (NVDA): fair value, margin of safety and Wheel Score
Technology · Semiconductors · United States · High Growth
Is NVDA undervalued?
At 217.23 (close of 16 Oct 2026), NVDA trades within a few percent of the GLS average fair value of 205.82 (5.5% above fair value). 9 models produced a value and they split 3 above the price to 6 below. A stock priced at fair value earns about half of the Wheel Score's Value points; the rest of the score comes from health, moat, premium and stability.
There is a wide gap between DDM (7.65) and GLS Growth (488.14). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files NVDA under High Growth: revenue and earnings growing fast enough that the growth-based models carry the valuation.
Nine valuation models for NVDA
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 226.19 | +4% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 41.21 | -81% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 456.08 | +110% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 199.34 | -8% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 488.14 | +125% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 137.31 | -37% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 207.90 | -4% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 7.65 | -96% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 88.59 | -59% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 3.16 | -99% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 339.17 | +56% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
NVIDIA Corporation scores 6 of 9 on the Piotroski F-score: a middling result that passes the Sunday Scan's "6 or more" rule. Some of the nine tests on profitability, leverage and efficiency are failed, so the accounts are worth a look before selling a put on the name. A GLS Moat score of 9.7/10 puts NVDA among the more durable businesses we track: over ten years the metrics the score watches (revenue, EPS, book value, margins, cash flow, ROIC) have mostly moved the right way, year after year.
Returns on capital are high - ROIC 71.2%, ROE 76.3%, ROA 58.1% - with debt at 0.07 times equity and a free-cash-flow yield of 2.4%.
The dividend yield is 0.24% with a payout ratio of 4% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Data Center 93%, Edge Computing 8% (quarter Q2 FY2027).
Institutional ownership scores 9/10, insider activity 1/10 and Congressional trading 1/10 on the GLS smart-money scales; the last recorded Congressional buy was on 18 Aug 2026.
| Piotroski F-score | 6 / 9 | ROIC | 71.2% |
|---|---|---|---|
| GLS Moat | 9.7 / 10 | ROE | 76.3% |
| Debt / equity | 0.07 | ROA | 58.1% |
| Free-cash-flow yield | 2.4% | Payout ratio | 4% |
| Institutions | 9 / 10 | Insiders · Congress | 1 · 1 / 10 |
Wheel Score 75: Good
With a Wheel Score of 75 - the Good band - NVIDIA Corporation clears the Sunday Scan's "70 or higher" rule. The parts: Value 10/25, Health 13/20, Moat 15/15, Premium 20/20, Stability 17/20; Value (10/25) scores lowest.
Implied volatility is 38% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. The option chain is deep: 2,695,972 contracts of open interest across all expiries, which means tight fills at most strikes.
Volume runs at 126.4M shares a day on a market cap of $5.24T, with a beta of 2.22 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 17 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 10 / 25 | -6% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 15 / 15 | moat 9.7/10 | |
| Premium | 20 / 20 | implied volatility 38% | |
| Stability | 17 / 20 | 126.4M shares/day, $5235.2B cap, beta 2.22 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 18 Nov 2026 (after the close), 33 days away; a 30-45-day put sold today would expire after it, which is worth weighing against the premium.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Semiconductors
The 12 companies below are the closest to NVIDIA Corporation by market cap within the Semiconductors industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| TSM Taiwan Semiconductor Manufacturing Company Limited | 430.00 | 1,402.70 | +69% | 95Prime | $2.23T |
| AVGO Broadcom Inc. | 344.33 | 224.00 | -54% | 68Good | $1.64T |
| MU Micron Technology, Inc. | 931.24 | 1,610.41 | +42% | 90Prime | $1.05T |
| SKHY SK hynix Inc. | 147.55 | 208,519.79 | +100% | 83Prime | $1.05T |
| AMD Advanced Micro Devices, Inc. | 562.23 | 130.40 | -331% | 63Fair | $917.8B |
| ASML ASML Holding N.V. | 1,657.44 | 1,137.77 | -46% | 73Good | $638.8B |
| INTC Intel Corp. | 95.37 | 16.71 | -471% | 45Weak | $504.1B |
| LRCX Lam Research Corporation | 277.46 | 98.92 | -181% | 65Good | $347.2B |
| AMAT Applied Materials, Inc. | 430.01 | 256.36 | -68% | 65Good | $341.3B |
| ARM Arm Holdings plc American Depositary Shares | 244.79 | 32.80 | -646% | 58Fair | $261.4B |
| TXN Texas Instruments Incorporated | 280.65 | 87.17 | -222% | 62Fair | $256.3B |
| KLAC KLA Corporation | 174.46 | 71.16 | -145% | 65Good | $227.7B |
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Start free See the Sunday ScanQuestions about NVDA
Is NVDA undervalued right now?
Not meaningfully: at 217.23 the stock trades within a few percent of the GLS average fair value of 205.82 (5.5% above fair value, data as of 16 Oct 2026).
What is the Wheel Score of NVDA and what does it mean?
NVDA scores 75 out of 100 (Good). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for NVDA?
205.82 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does NVIDIA Corporation report earnings next?
The next earnings report is due on 18 Nov 2026 (after the close), 33 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does NVDA have listed options, and how liquid are they?
Yes. The nightly snapshot found 1,000 listed contracts with 2,695,972 open interest across all expiries and implied volatility of 38% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.