NVIDIA Corporation (NVDA) Fundamental Checkup
NVIDIA Corporation fundamental checkup using revenue growth, EPS growth, free cash flow, margins, ROIC, debt-to-equity, and TGMCharts chart exhibits as of July 30, 2026.
By TGMCharts Research · Data as of · Updated
Evaluating NVIDIA Corporation requires balancing its five-year revenue CAGR of 68.23% and EPS CAGR of 85.78% against its capital efficiency, where ROIC stands at 62.88% and the five-year free cash flow CAGR registers at 85.52%.
The checkup weighs operating growth, shareholder conversion, cash conversion, reinvestment quality, and balance-sheet flexibility. Current ratio is 3.91x and debt-to-equity is 0.07x, so the balance-sheet read is part of the final view rather than a footnote.
- NVIDIA Corporation has market cap of $4.86T and closed at $201 on July 30, 2026.
- Five-year revenue CAGR is 68.23% and five-year EPS CAGR is 85.78%.
- Five-year free-cash-flow CAGR is 85.52%.
- Net margin is 62.97% and ROIC is 62.88%.
- Current ratio is 3.91x and debt-to-equity is 0.07x.
Fundamental snapshot
The valuation, growth, profitability, and balance-sheet facts behind the checkup.
Evaluating Growth Alignment Across the Financial Statements
Assessing NVIDIA Corporation requires answering a single fundamental question: do the company's expansion rates, cash generation, capital efficiency, and balance sheet structure present a unified operational narrative? With the equity closing at $201 as of July 30, 2026, this analysis anchors itself in reported business performance before evaluating how public markets price these achievements.
Our investigation begins by contrasting a five-year revenue CAGR of 68.23% against a five-year EPS CAGR of 85.78%. We then cross-examine this profit trajectory against a five-year free cash flow CAGR of 85.52% to verify that accounting profits are backed by actual cash inflows. A rigorous assessment must look beyond isolated top-line metrics to ensure the underlying business model remains structurally sound.
A High-Level Structural Overview of Operational Metrics
As a major player within the Technology sector, NVIDIA Corporation must be evaluated through its quantitative operational footprints. This snapshot integrates total capitalization, valuation multiples, historical expansion rates, and leverage parameters to establish a baseline before diving deep into individual financial statements and historical trends.
Fundamental evidence table
A compact cross-check of valuation, growth, quality, and financial flexibility.
NVDA revenue
Revenue history shows whether the business has been expanding before margins and per-share metrics are considered.
Five-year revenue CAGR: 68.23%. This is endpoint-to-endpoint from the fiscal years shown — a depressed start year can inflate it, so read it against the recent bars.
Five-year revenue CAGR of 68.23% is the top-line test. A fundamental checkup becomes more durable when revenue growth is paired with earnings growth instead of depending only on margin expansion.
Translating Top-Line Expansion Into Net Shareholder Returns
Analyzing the conversion of top-line expansion into bottom-line profitability reveals how efficiently a firm scales. While the five-year revenue CAGR of 68.23% highlights rapid demand expansion, the corresponding five-year EPS CAGR of 85.78% indicates that net income per share has scaled even faster. When bottom-line growth outpaces sales, analysts must investigate whether this outperformance is supported by structural margin improvements or capital allocation choices.
NVDA EPS
EPS history shows how much of the business growth has reached shareholders.
Five-year EPS CAGR: 85.78%. This is endpoint-to-endpoint from the fiscal years shown — a depressed or negative start year can inflate it, so read it against the recent bars.
Five-year EPS CAGR of 85.78% is the shareholder conversion check. If EPS grows faster than revenue, the note should ask whether that came from margin quality, buybacks, or a temporary base effect.
Verifying Reported Earnings Quality Through Cash Generation
Accounting profits can occasionally diverge from actual liquidity, making cash flow analysis a critical check on earnings quality. With a five-year free cash flow CAGR of 85.52%, the organization demonstrates that its net income growth is backed by tangible cash generation rather than working capital adjustments or deferred items. This close tracking between cash and earnings reduces the risk of accounting distortions.
NVDA free cash flow
Free cash flow checks whether earnings are converting into owner cash.
Five-year free-cash-flow CAGR: 85.52%. This is endpoint-to-endpoint from the fiscal years shown — a depressed or negative start year can inflate it, so read it against the recent bars.
Free-cash-flow CAGR of 85.52% is the counterweight to the EPS story. If cash flow lags earnings, the quality of the fundamental setup deserves a more cautious reading.
Operational Margins and Reinvestment Efficiency
To evaluate the durability of this operational record, we examine profitability and capital allocation efficiency. A net margin of 62.97% indicates how much of each dollar of sales is retained as net profit, while an ROIC of 62.88% shows how productively the firm deploys its capital. High returns on invested capital suggest that the company's expansion is generating substantial economic value rather than diluting corporate resources.
NVDA net margin
Net margin is the operating-quality check behind the growth record.
Net margin (TTM): 62.97%. The bars below are annual fiscal years.
Net margin of 62.97% shows how much revenue becomes profit. The checkup is stronger when margin quality supports EPS growth rather than simply flattering one recent period.
NVDA ROIC Chart
ROIC tests whether the business earns enough on reinvested capital to deserve attention.
Latest ROIC: 62.88%.
ROIC of 62.88% is the reinvestment-quality check. A business with stronger returns can support a better long-term read even when the valuation is not obviously cheap.
Liquidity Guardrails and Capital Structure Stability
A robust growth profile requires adequate balance sheet guardrails to withstand cyclical industry downturns. The organization maintains a current ratio of 3.91x, pointing to a strong short-term liquidity position, complemented by a conservative debt-to-equity ratio of 0.07x. This capital structure provides significant financial flexibility, ensuring that operational expansion is not dependent on aggressive leverage.
NVDA debt-to-equity Chart
Debt-to-equity keeps the checkup honest about balance-sheet flexibility.
Latest debt-to-equity ratio: 0.07x.
Debt-to-equity of 0.07x and current ratio of 3.91x are the balance-sheet checks. They matter because growth and margins are less valuable if financial flexibility is narrowing.
Market Pricing and Implied Expectations
Valuation metrics represent the hurdles that a business must clear to satisfy public market expectations. Trading at a P/E ratio of 29.87x, which corresponds to an earnings yield of 3.35%, the market is pricing in a continuation of high-quality growth. This multiple indicates the level of operational execution required to support the current equity valuation over a multi-year horizon.
NVDA Price Chart
Latest close: $201 as of July 30, 2026.
The close at $201 is not the conclusion, but it is the market reference point. The fundamental read has to explain whether growth, margins, and balance-sheet support justify the price investors are paying.
Core Operational Opportunities Against Potential Headwinds
The optimistic scenario for the business rests on its ability to maintain its high-velocity expansion alongside exceptional capital returns, with its net margin and ROIC remaining near historical highs. Conversely, the primary risk to this thesis is a potential deceleration in demand that could compress margins, leaving a highly valued stock vulnerable if cash generation rates begin to fall behind historical trends.
Bull and bear case
Fundamental support
- Five-year revenue CAGR of 68.23% and five-year EPS CAGR of 85.78% support the business case.
- Net margin of 62.97% and ROIC of 62.88% are the quality checks behind the thesis.
Fundamental pressure
- Free-cash-flow CAGR of 85.52% can weaken the read if it falls away from EPS growth.
- Debt-to-equity of 0.07x and current ratio of 3.91x are the balance-sheet checks that can change the view.
A Balanced Synthesis of the Financial Evidence
In conclusion, the data reveals a business where top-line expansion, net income growth, and cash generation have historically moved in tandem, supported by a highly liquid and unleveraged balance sheet. This fundamental assessment is subject to change as subsequent quarterly filings update the trailing figures, and it should be viewed as objective financial research rather than personalized investment advice.
FAQ
What is the fundamental read on NVDA?
NVIDIA Corporation is judged through revenue growth of 68.23%, EPS growth of 85.78%, free-cash-flow growth of 85.52%, net margin of 62.97%, and ROIC of 62.88%.
Which NVDA fundamental metric matters most?
No single metric carries the article. The checkup requires growth, cash conversion, profitability quality, balance-sheet flexibility, and valuation to be read together.
When should this NVDA checkup refresh?
We refresh this note after each daily market close; its figures are as of July 30, 2026.
What would change our mind
- Revenue growth moving away from the current five-year CAGR of 68.23%.
- Free-cash-flow growth drifting away from five-year EPS CAGR of 85.78%.
- ROIC or balance-sheet flexibility weakening from ROIC of 62.88% and debt-to-equity of 0.07x.
The bottom line
NVIDIA Corporation fundamental research note from TGMCharts Research, grounded in a dated fundamentals snapshot, chart exhibits, and linked source facts.
Read next: NVIDIA Corporation (NVDA) Earnings ReviewEarnings review on NVIDIA Corporation — from the same data-checked research desk.How we checked this researchShowHide
Data snapshot · By TGMCharts Research.
Every number in this note comes from data we compute and store ourselves from the company's reported figures, plus verbatim excerpts from its SEC filings. When a value isn't available we say so — we never fill gaps with estimates.
Latest filing excerpt
10-Q · filed 2026-05-20 · period 2026-04-26 · SEC EDGAR source
- “Revenue was $81.6 billion, up 85% from a year ago and up 20% sequentially.”
- “Data Center revenue was $75.2 billion, up 92% from a year ago and up 21% sequentially, driven by the ramp of our Blackwell 300 products and demand for our InfiniBand, Spectrum-X Ethernet, and NVLink solutions.”
- “Edge Computing revenue for the first quarter was $6.4 billion, up 29% from a year ago and up 10% sequentially.”
- “Hyperscaler revenue increased sequentially and remained at approximately 50% of Data Center revenue, while the remaining 50% came from a continued diversification of customers, including AI Clouds, industrial, enterprise, and sovereign customers.”
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Every number, checked
Every numeric or dated claim in this note was checked against our stored company data before publishing — each figure below links to the page it comes from.