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Nvidia (NVDA) is worthy of a top long -term portfolio holding in part due to its attractive advantage margin, calling an experienced investor.
Louis Nevelier, the founder and chairman of Nevelier & Associates, said Yahoo Finance’s initial bid podcast (watch the video above or hear below), “I have no company with an operating margin as a fat as Nvidia, they have no company, they are funny Are.”
Nevelier is correct in that assessment.
Given its widespread lead in semiconductor innovation, Nvidia is capable of commanding premium prices over the years. This trend has accelerated the current cycle under the leadership of powerful AI chips like only hopper and soon Blackwell.
Yahoo finance analysis suggests that the operating profit margin of Nvidia has gone from 39.9% for the financial year ended on January 31, 2021. 58.1%for the financial year ending on January 28, 2024. You can report an operating margin of 67.5% for the previous year. For 2025, The Street feels that the operating margin of Nvidia will be around a similar level.
Read more: How does Nvidia earns money?
“Margin expansion surprises a lot of earnings,” Nevelier says it is difficult to sell out of NVidia. “You want positive amendments. Analysts are underestimated (for). And so when the stock is getting institutional, just want to ride it as long as you can.”
Navilier said that he has been catching Nvidia for customers since May 2019.
Hear: What do you think about Bill Gates Nvidia
After the closure of trading, the road in its market earnings report on Wednesday is sticking to Nvidia.
Earlier this year, Chinese-based Dipsek, despite rocking the super-bullish AI thesis, Wall Street still makes a profit from Nvidia’s global buildout of AI Infrastructure. The 2025 capital expenditure perceptions aggressive by hypersscalers such as Amazn and Meta (Meta) have been shared during this earning season.
However, it is not to say that NVIDIA’s earnings are not indicated by indication of going to the report.
Yahoo finance data shows that NVDia’s first quarter earnings per share (EPS) trend has decreased marginally in the last 30 days. The road has not even pushed its 2025 EPS projections on Nvidia for more than 60 days.
NVIDIA is also one of the cheapest valuable AI stocks because some take a waiting-and-looking approach for the quarter and guidance.
Forward Price-to-Kamai (PE), on several basis, Yahoo Finance Data reflects NVDia trading on 29 times further earnings. The Broadcom and Marvel Technology (MRVL) value is 35 times and 41 times respectively. 72 times arm holdings (ARM) watches.
