Nvidia reports impressive growth in Q4, doubling revenue, strong cash flow, undervalued stock

From Nasdaq: 2025-03-02 05:31:00

Nvidia (NASDAQ: NVDA) reports impressive growth in its fiscal 2025 fourth-quarter results, driven by high demand for its GPUs and AI infrastructure. Despite stock trading down 10.5% year to date, it has seen a remarkable 1,810% increase in the past five years.

The company more than doubled its revenue for the second consecutive year, with revenue reaching $130.5 billion for fiscal 2025, up 114% from the previous year. In Q4 alone, revenue soared 78% year over year to $39.3 billion, surpassing analyst expectations.

Nvidia’s data center business led the growth, with revenue up 93% to $35.6 billion. Other segments like cloud computing, consumer internet, and enterprise also saw significant revenue increases.

The company generated strong operating and free cash flow in the quarter, ending with a solid cash position and announcing a new quarterly dividend. It projects fiscal Q1 revenue of around $43 billion, with growth driven by its new Blackwell GPU architecture.

With a forward P/E ratio of just over 28 times and a PEG ratio under 0.5, Nvidia’s stock remains undervalued. The company is set to benefit from significant AI infrastructure spending, making it a good investment at current levels.

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Read more at Nasdaq: Nvidia Continues to See Unstoppable Growth, but Is the Stock Still a Buy?