NVDANEUTRAL

Debt-to-Equity Ratio

0.04x

Higher than 21% of Technology sector peers

Updated 23h ago

Sector Performance

21th percentile

NVDA

0.04x

Sector Median

0.27x

Sector Avg

0.42x

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Deep Analysis

The debt-to-equity ratio compares a company’s total liabilities to its shareholders’ equity, measuring how much debt it uses to finance operations relative to its own capital.

At 0.04x, NVIDIA carries almost no debt compared to equity — a very low level that signals minimal financial leverage and default risk. For context, the sector median in Technology is 0.27x, placing NVIDIA in the 21st percentile among peers, meaning only 21% of sector companies have an even lower ratio. The year-over-year change is not available, but the quarter-over-quarter change shows a decline of 42.9% from 0.07x to the current 0.04x. This combination of an already ultra-low ratio and a further sharp reduction suggests that NVIDIA is strengthening its already conservative capital structure, reducing any risk tied to debt servicing. Such a posture typically lowers investment risk and supports financial stability, aligning directly with the overall BULLISH verdict on the stock.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about NVDA?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

How does NVDA's Debt-to-Equity Ratio compare to its sector?

NVDA's Debt-to-Equity Ratio of 0.04x compares to a Technology sector median of 0.27x, placing it in the 21th percentile.

Who are NVDA's closest peers by Debt-to-Equity Ratio?

The closest Technology peers by Debt-to-Equity Ratio include: ARM (0.05x), ACLS (0.04x), PLTR (0.03x), DIOD (0.03x), AMBA (0.02x).

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

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NVDA

0.04x

Sector Median

0.27x

Sector Avg

0.42x

How NVDA's Debt-to-Equity Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.