Is NVIDIA Corp. overvalued or undervalued?

As of 17 October 2025, NVIDIA Corp. has moved from very expensive to attractive, indicating a significant shift in its valuation perspective. The company is currently considered undervalued, with a P/E ratio of 45, an EV to EBITDA of 38.68, and an impressive ROCE of 221.46%. In comparison to its peers, NVIDIA's P/E ratio is lower than Broadcom Inc. at 82.00 and Advanced Micro Devices, Inc. at 87.09, while Micron Technology, Inc. presents a more favorable P/E of 25.58.
Recent stock performance shows that NVIDIA has outperformed the S&P 500 across multiple periods, with a staggering 3-year return of 1441.22% compared to the S&P 500's 81.19%. This strong performance reinforces the attractiveness of NVIDIA's current valuation.