TITLE:
Nvidia’s Long-Term Investing: A Value-Investing-Based Approach
AUTHORS:
Adrien Dai, Albert Wu, Xiaolin Peng
KEYWORDS:
Nvidia, Value Investing, Financial Statement Analysis, Fundamental Analysis, Gross Margin Analysis, Quantitative Finance, Return on Investment
JOURNAL NAME:
Open Journal of Business and Management,
Vol.13 No.5,
August
25,
2025
ABSTRACT: This paper empirically explores Nvidia’s track record of long-term returns from a value-investing perspective. Using a quantitative analysis of Nvidia (NASDAQ: NVDA), we assess its growth trajectory, profitability, and risk-adjusted returns, focusing on trends over the past 20 years, ending in December 2024. Furthermore, we compare Nvidia’s stock performance against the Magnificent Seven technology companies—Alphabet (NASDAQ: GOOG), Amazon (NASDAQ: AMZN), Apple (NASDAQ: APPL), Meta (NASDAQ: META), Microsoft (NASDAQ: MSFT), Netflix (NASDAQ: NFLX), and Tesla (NASDAQ: TSLA)—and measure their risk-adjusted returns. Additionally, we compare Nvidia’s investment performance to major U.S. stock indices, including the Dow Jones, S&P 500, and NASDAQ, to evaluate its broader market position. We aim to identify key factors driving Nvidia’s success, including an AI-driven market demand, capital expenditures, margin expansion, and strategic innovation. Our findings suggest that Nvidia’s exceptional stock performance reinforces the long-term viability of investment in high-growth technology sectors.