Reasonable growth and debt and a high ROIC for NVIDIA CORP (NASDAQ:NVDA).

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if NVIDIA CORP (NASDAQ:NVDA) is suited for quality investing. Investors should of course do their own research, but we spotted NVIDIA CORP showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

A Deep Dive into NVIDIA CORP's Quality Metrics.

• NVIDIA CORP has shown strong performance in revenue growth over the past 5 years, with a 39.06% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
• With a robust ROIC excluding cash and goodwill at 123.0%, NVIDIA CORP showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
• The Debt/Free Cash Flow Ratio of NVIDIA CORP stands at 0.36, 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.
• The Profit Quality (5-year) of NVIDIA CORP stands at 105.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• NVIDIA CORP has consistently achieved strong EBIT growth over the past 5 years, with a 54.6% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
• NVIDIA CORP demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

Zooming in on the fundamentals.

Every day ChartMill assigns a Fundamental Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple fundamental indicators and properties.

NVDA gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 107 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 growing strongly while it is still valued neutral. This is a good combination! These ratings could make NVDA a good candidate for growth and quality investing.

Check the latest full fundamental report of NVDA for a complete fundamental analysis.

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

Disclaimer

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.