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Is NVIDIA Corporation (NVDA) overvalued or undervalued?

Updated Sep 3, 2026 · researched from SEC filings · educational, not advice

Fair value
$226.76
Market price
$224.41
Upside to fair value
+1.0%
Verdict
roughly at fair value

Test the assumptions — move the discount rate

The DCF value below is a real engine result at each WACC (not a re-estimate). Drag to see how sensitive NVDA's DCF is to the discount rate.

Market price: $224.41

At a recent price of $224.41, NVIDIA Corporation (NVDA) trades roughly at TickerWorth's blended fair value of $226.76 per share. For this company that blend leans on peer multiples: our discounted-cash-flow model holds margins flat and fades growth toward a long-run rate, which systematically understates a business growing this fast, so its figure (about $60.44) is shown as a reference beside the range rather than blended into it. Our estimate sits above the market — read that as a statement about how the market prices NVDA against comparable companies, not as a finding that it is undervalued on cash flow. This is an educational model, not a price target or a recommendation.

The valuation discounts NVIDIA Corporation's projected free cash flows at a weighted-average cost of capital (WACC) of 15.1%, with a long-run terminal growth rate of 2.5%. About 60% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.

Running the DCF in reverse — solving for the growth the current price already assumes — NVDA would need sustained revenue growth of more than 25%/yr to justify today's price, against the roughly 17.0% average our base case assumes. We don't quote a precise figure here, because past about 25% a year the reverse-DCF stops being informative: it solves for revenue growth alone, holding margins, capital intensity and the forecast horizon fixed, so a price well above our fair value has nowhere to go but growth. The honest reading is that the price implies growth this model can't reconcile — not that we forecast it.

Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, NVDA's modeled DCF value ranges from about $51.35 to $73.94 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.

How to read this page: the DCF fair value is what NVIDIA Corporation would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of NVDA's intrinsic value. Figures update as new filings and prices come in.

The assumptions behind NVDA's DCF

InputValueSource
Base-year revenue$215,938,000,000NVIDIA CORP FY2026 10-K (accession 0001045810-26-000021): us-gaap:Revenues, FY2026 full year.
Base EBIT margin60.4%NVIDIA CORP FY2026 10-K (accession 0001045810-26-000021): us-gaap:OperatingIncomeLoss 130,387,000,000 / revenue 215,938,000,000 = 60.38%, FY2026.
Forecast revenue growth30% → 24% → 17% → 10% → 4%Assumption — TickerWorth's 5-year explicit forecast
Risk-free rate4.7%Live feed — US 10-year Treasury yield (^TNX)
Beta2.21Live feed — yfinance, 5-year monthly beta vs the S&P 500 (clamped to 0.4–2.5)
Terminal growth2.5%Assumption — TickerWorth house default 2.5%, held below WACC
Diluted shares24,514MNVIDIA CORP FY2026 10-K (accession 0001045810-26-000021): WeightedAverageNumberOfDilutedSharesOutstanding = 24,514,000,000 shares, FY2026.
Market price$224.41Delayed quote · as of 2026-09-03 06:40 UTC

Researched from filings: the base year — revenue, operating margin and balance-sheet figures — comes straight from this company's latest SEC 10-K (cached, refreshed periodically). Forward growth and terminal value are still algorithmic estimates; drag the WACC slider to test sensitivity.

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Educational tool. Every output reflects the assumptions shown — not a prediction and not investment advice. TickerWorth is an educational DCF tool, not a licensed investment adviser. Figures are estimates derived from public filings and market data and can be wrong.