NVDANEUTRAL

NVDA EV/EBITDA Analysis

32.7x

Higher than 74% of Technology sector peers

Updated 249h ago·SEC filings & market data

Key Takeaway

EV/EBITDA measures a company's total value—market cap plus debt minus cash—relative to its earnings before interest, taxes, depreciation, and amortization; a 32.7x means investors pay $32.70 for each $1 of operating earnings.

Sector Performance

74th percentile

NVDA

32.7x

Sector Median

19.1x

Sector Avg

44.4x

Prior Period

30.0x(Jul 2026)

↓ Declining

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Deep Analysis

This is well above the sector median of 18.9x, placing NVDA at the 74th percentile among technology peers. The multiple has been increasing over the last eight quarters, with the most recent quarter rising 8.9% from 30.0x to 32.7x; year-over-year change is not available. A high and rising EV/EBITDA implies the market expects strong future earnings growth, but it also leaves less room for error, so any miss could trigger a sharp de-rating. This metric contradicts the overall BULLISH verdict because the valuation premium is already stretched relative to peers and increasing, adding downside risk.

Frequently Asked Questions

What does the EV/EBITDA tell investors about NVDA?

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.

How is the EV/EBITDA calculated?

EV/EBITDA is calculated as: Enterprise Value / EBITDA.

How does NVDA's EV/EBITDA compare to its sector?

NVDA's EV/EBITDA of 32.7x compares to a Technology sector median of 19.1x, placing it in the 74th percentile.

Who are NVDA's closest peers by EV/EBITDA?

The closest Technology peers by EV/EBITDA include: MSFT (18.9x), AMAT (19.3x), SQ (18.2x), ZI (15.7x), CRM (15.5x).

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Learn More About EV/EBITDA

EV/EBITDA Explained: The Valuation Metric Pro Investors Actually Use

Learn what EV/EBITDA is, why it beats P/E for capital-heavy companies, typical sector ranges, and key limitations every serious investor should know.

The Formula

Enterprise Value / EBITDA

Why It Matters

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.