Valuation of NVIDIA Corporation

This case studies the valuation of NVIDIA Corporation, a California-based producer of graphics processing units (GPUs). In recent years, the stock price of the company was affected by fluctuations in the demand for GPUs due to their use in mining cryptocurrencies. The case study allows students to incorporate their assumptions about the prospects of the firm into a discounted cash flow valuation and use information on comparable firms to perform valuation with multiples. This case includes an Excel file.

Collection: IESE (España)
Ref: F-955-E
Format: PDF
Number of pages: 5
Publication Date: Mar 27, 2020
Language: English, Spanish

Description

This case studies the valuation of NVIDIA Corporation, a California-based producer of graphics processing units (GPUs). In recent years, the stock price of the company was affected by fluctuations in the demand for GPUs due to their use in mining cryptocurrencies. The case study allows students to incorporate their assumptions about the prospects of the firm into a discounted cash flow valuation and use information on comparable firms to perform valuation with multiples. This case includes an Excel file.
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Year: 2019
Geographic Setting: Estados Unidos

Learning Objective

The main purpose of this short case is to introduce students to valuation with discounted cash flow analysis and valuation with multiples. The case study can be used at the MBA and undergraduate levels in introductory finance or corporate finance courses.

Valuation of NVIDIA Corporation

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"Valuation of NVIDIA Corporation"