NVIDIA Corp. (NASDAQ:NVDA)

The analysis of the quarterly valuation ratios over the observed periods reveals several significant trends for the company.

Price to Earnings (P/E) Ratio

The P/E ratio was first reported at 67.59 and showed fluctuations with a general upward trend until early 2023, peaking notably at 200.72 in July 2023. This peak indicates a substantial market premium relative to earnings at that time. Afterward, there was a distinct decline, reaching levels close to 42.84 by July 2025, which suggests a normalization or market reassessment of earnings expectations.

Price to Operating Profit (P/OP) Ratio

Similar to the P/E ratio, the P/OP ratio rose from around 66.4 to an all-time high of 213.98 in July 2023, displaying heightened market valuation relative to operating profits. Subsequently, it declined steadily to approximately 38.17 by July 2025. This pattern mirrors the P/E ratio trend indicating that both earnings and operating profits were valued more optimistically before undergoing correction.

Price to Sales (P/S) Ratio

The P/S ratio began at 17.31 and increased gradually to peak at 37.18 in May 2023, reflecting strong market valuation relative to sales revenues. Unlike the P/E and P/OP ratios, the P/S ratio showed a less pronounced decline post-peak but still decreased to 22.15 by July 2025. The higher peak and slower descent may imply sustained revenue growth expectations even as profitability valuations cooled.

Price to Book Value (P/BV) Ratio

The P/BV ratio exhibited growth from 10.07 in April 2019 to a high of 57.48 in May 2024, indicating a rising market valuation in relation to the company’s book equity. Post this peak, the ratio declined somewhat but remained elevated at 44.07 by July 2025. This sustained high valuation against book value suggests strong investor confidence in the company's asset base or intangible value creation over time.

Overall, the valuation multiples display a phase of increasing investor optimism reaching their respective peaks around mid-2023 to mid-2024, followed by a notable retreat toward the later periods. The sharpest swings are observed in earnings and operating profit-based ratios, indicating more volatile expectations for profitability relative to sales and book value. The persistence of elevated P/S and P/BV ratios in the later periods implies maintained confidence in the company’s sales growth potential and asset strength, notwithstanding the moderation in earnings-related valuations.

The share price of the company exhibits a general upward trajectory over the observed periods with intermittent fluctuations. Starting at a low point around US$4.01, the price gradually increases with noticeable acceleration after early 2021. Noteworthy peaks occur around May 2023 (approximately US$38.95) and subsequent quarters, culminating in a significant value of US$181.60 by mid-2025. However, some quarters show temporary corrections or declines, such as between late 2021 and early 2022, and a slight dip after October 2024.

Earnings per share (EPS) data, available from early 2020 onwards, indicate a steady improvement over time. Initial EPS values close to US$0.11 increase consistently, with minor short-term decreases, until reaching a high level beyond US$3.50 in the latest quarters of 2025. This growth highlights improving profitability and is broadly aligned with the rising trend in share price, suggesting positive investor sentiment and company performance.

The price-to-earnings (P/E) ratio displays a more volatile pattern compared to share price and EPS. Early ratios are relatively moderate, but the P/E ratio spikes significantly at various points, such as reaching over 130 and even 200 around 2023. This indicates periods of elevated market expectations relative to earnings. After these peaks, the P/E ratio tends to decline, settling in a range slightly above 40 to 60 in the most recent quarters. Such movement reflects dynamic market reassessment of valuation versus earnings performance.

Share Price Trend

Consistent growth with periods of volatility, strong upward acceleration from 2021 onward, reaching a peak exceeding US$180 by 2025.

Earnings Per Share (EPS) Trend

Steady and significant increase from approximately US$0.11 to over US$3.50, demonstrating improving company profitability.

Price-to-Earnings (P/E) Ratio Trend

Variable with considerable spikes indicating market speculation or optimism; recent moderation suggests recalibration to sustainable valuation levels.

In summary, the data reflect a company experiencing robust growth in earnings and share price, although the market valuation assessed by the P/E ratio appears to fluctuate in response to shifting investor expectations. The overall upward trend in EPS and share price suggests strong operational performance, while the P/E variations imply periodic reassessment by the market of future growth prospects and risk.

Share Price Trend

The share price demonstrated a general upward trend from April 2019 through July 2025. Starting at $4.01 in April 2019, the price experienced gradual increases with some fluctuations, reaching $31.96 by October 2021. Following a temporary decline to $15.09 in July 2022, the share price sharply rose to $181.60 by July 2025. This indicates substantial growth over the period, particularly accelerating after mid-2022.

Operating Profit Per Share (OPPS) Trend

Operating profit per share data begins in January 2020 at $0.12. A gradual increase was observed over subsequent quarters, peaking at $0.4 in May and July 2022. Some periods showed a decrease, such as in October 2022 and January 2023, but a strong upward trend resumed afterward. By July 2025, OPPS reached $3.95, suggesting significant profitability improvements over the long term.

Price to Operating Profit Ratio (P/OP)

The P/OP ratio fluctuated notably throughout the period. Early values ranged in the 60s to mid-80s, with a spike to over 136 by January 2023 and peaking near 214 in April 2023. Subsequently, it decreased to values near 38–50 from mid-2023 onwards. This indicates changes in market valuation relative to operating profits, with periods of both high investor optimism and more conservative pricing.

Key Insights

While share price and operating profit per share both showed marked increases over the long term, the P/OP ratio's volatility highlights shifting market expectations and valuation multiples. Large increases in share price, especially after mid-2022, outpaced operating profit growth temporarily, driving high P/OP ratios before they normalized. The data suggests strong financial performance underpinning rising market confidence but also indicates periodic reassessments of valuation metrics by investors.

The analyzed data reveals notable trends in share price, sales per share, and price-to-sales (P/S) ratio over multiple quarters, reflecting dynamic changes in market valuation and company performance.

Share Price

The share price demonstrates a general upward trajectory from April 2019 through July 2025. Initially valued at $4.01 in April 2019, it shows gradual increments with some volatility but gains momentum around 2021, reaching a peak of $67.47 by January 2024. Subsequently, the upward trend accelerates, and the share price reaches $181.60 by July 2025. Despite occasional dips, such as between October 2021 and July 2022, the long-term trend is robust growth.

Sales per Share

Sales per share data starts becoming available from January 2020, beginning at $0.45 and showing steady quarterly increases over time. Growth is consistent with a minor peak around October 2022 at $1.19, followed by a slight decline through April 2023 to $1.05. From then onwards, there is a sustained increase, accelerating significantly from the latter part of 2023 to reach $6.80 by July 2025. This pattern suggests expanding operational scale or improved revenue generation per share.

Price-to-Sales (P/S) Ratio

The P/S ratio exhibits significant fluctuations across the reported periods. After an initial numbering starting at 17.31 in April 2020, the ratio climbs sharply to reach a high of 37.18 in May 2021. Following this, it undergoes a steep decline to a low of around 12.64 in July 2022, indicating a phase of valuation correction or faster sales growth relative to price. In the subsequent quarters, the ratio climbs again, peaking near 35.41 in April 2023, then exhibits moderate declines, ending at 26.71 by July 2025. These movements indicate that market valuation relative to sales has been quite volatile, reflecting varying investor sentiment and underlying sales performance.

Overall, the data points to substantial growth in share price and sales per share, with the company experiencing phases of strong market confidence alternating with periods of valuation adjustment. The substantial increase in sales per share alongside rising share prices suggests positive financial performance, while the volatility in the P/S ratio implies changing market perceptions regarding the sustainability and premium of the valuation.

Share Price Trend

The share price demonstrated a clear upward trajectory over the analyzed periods. Starting at a relatively low level around $4.01 in April 2019, it experienced consistent growth with minor fluctuations. Notable surges occurred from mid-2020 onwards, reaching a peak above $181.60 by July 2025. A few interim declines were observed, such as between October 2021 and April 2022, where the price dropped from approximately $32 to $18.81, yet the overall trend remained strongly positive through the latest periods.

Book Value per Share (BVPS)

BVPS showed a steady increase from $0.40 in April 2019 to $4.12 in July 2025. The growth was generally smooth with slight decelerations or minor decreases observed around early 2022, particularly from January 2022 to October 2022, where the value declined slightly from $1.06 to $0.87 before resuming its upward course. This suggests gradual accumulation of book equity on a per-share basis over the long term.

Price-to-Book Value Ratio (P/BV)

The P/BV ratio was characterized by substantial variability despite an upward trend in share price and BVPS. It started at about 10.07 in April 2019, rising sharply through subsequent quarters with peaks above 57 by April 2024 and generally maintained elevated levels thereafter, fluctuating mostly between 35 and 54. Such high P/BV ratios indicate that the market consistently valued the stock at a significant premium over its book value, reflecting strong investor expectations about future growth or intangible assets beyond the book value.

Overall Financial Insights

The data reflects robust market confidence as evidenced by the strong share price appreciation and elevated P/BV ratios. The steady increase in BVPS indicates an improving book equity base, while the volatility and heightened levels of P/BV suggest periodic market adjustments driven by growth prospects or external factors affecting investor sentiment. The temporary declines in share price and BVPS around early 2022 point to short-term challenges or market corrections, yet the recovery and further price increases imply resilience and long-term positive outlook.