This report provides a summary of key financial metrics and growth estimates for NVIDIA Corporation (NVDA) over the period from 2016 to 2023. The analysis covers Earnings per Share (EPS), Net Profits, Revenue, Shareholders’ Equity, and Long-Term Debt. Additionally, projections are provided for future EPS and stock price growth over the next 10 years.
1. Earnings per Share (EPS):
- Initial EPS (2016): $0.06
- Current EPS (2023): $1.19
- Annual EPS Growth Rate (CAGR): 42.45%
- Projected EPS in 10 Years: $40.93
- Estimated Stock Price in 10 Years: $1105.11
- Annual Stock Price Growth Rate (CAGR): 23.68%
2. Net Profits:
- Initial Net Profits (2016): $1.67 billion
- Current Net Profits (2023): $29.00 billion
- Annual Net Profits Growth Rate (CAGR): 50.35%
3. Revenue:
- Initial Revenue (2016): $7 billion
- Current Revenue (2023): $60 billion
- Annual Revenue Growth Rate (CAGR): 35.92%
4. Shareholders’ Equity:
- Initial Equity (2016): $5.76 billion
- Current Equity (2023): $42 billion
- Annual Equity Growth Rate (CAGR): 32.82%
5. Long-Term Debt:
- Initial Long-Term Debt (2016): $2 billion
- Current Long-Term Debt (2023): $8 billion
- Annual Long-Term Debt Growth Rate (CAGR): 21.90%
- Years to Pay Off Long-Term Debt Using Net Profit: 0.28 years
Key Insights:
- EPS Growth: NVIDIA has shown exceptional growth in EPS, with a 42.45% CAGR, indicating strong profitability increases.
- Stock Price Growth: The stock price is projected to grow at an impressive 23.68% CAGR, potentially reaching $1105.11 in 10 years.
- Net Profit Surge: Net profits have expanded dramatically, with a 50.35% CAGR, reflecting NVIDIA’s dominance in the tech and semiconductor industry.
- Revenue Growth: Revenue has increased significantly, growing at 35.92% CAGR, demonstrating NVIDIA’s robust business expansion.
- Equity Strength: Shareholders’ equity has grown substantially, with a 32.82% CAGR, indicating a strong and healthy financial position.
- Debt Management: Long-term debt has increased at a moderate rate (21.90%), but NVIDIA could pay off its long-term debt in just 0.28 years using its current net profits, highlighting strong financial flexibility.