Should You Buy Nvidia Stock? 3-Minute Stock Analysis - September 2025

Published first at https://www.3minutebreakdowns.com Nvidia stock analysis. Ticker: NVDA At 4.2 trillion dollars, Nvidia is now bigger than the economies of Japan, France and the UK. which is quite interesting when you consider Nvidia’s current GPUs are likely to be obsolete in 5 or 10 years from now. True, newer chips will be needed to keep the progress continuing but there will come a time when Nvidia’s rapid growth will start to slow down. So let’s consider a simple discounted cash flow model for Nvidia that assumes 20% annual revenue growth for the next 10 years with free cash flow margins of 40%. (That’s against historical revenue growth rates of 39% and free cash flow margins of 30%.) In this scenario, Nvidia would generate roughly 2 trillion of free cash flow over the next 10 years. And using a 10% discount rate and 25 times exit multiple, the fair value of the stock gets to roughly 208 dollars which is roughly 17% upside from today’s price. ABOUT ME Joe is the original founder of 3-minute Breakdowns and editor for Overlooked Alpha, the number one newsletter for overlooked investing ideas and stock market analysis. Joe evaluates companies from a business-first perspective, searching for things that the market has got wrong and waiting for the 'fat pitch'. LINKS My website: https://www.3minutebreakdowns.com/ Koyfin charts: https://www.koyfin.com/affiliate/overlooked-alpha/?via=3mb TikTok: https://www.tiktok.com/@overlookedalpha X: https://x.com/OverlookedAlpha DISCLAIMER & DISCLOSURE This content is for educational and entertainment purposes only. 3-Minute Breakdowns is not a registered investment advisor and does not provide financial recommendations (only opinions). The information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. All investing involves risk, including the possible loss of principal. The author reserves the right to buy and sell or change his position in a particular stock at any time. This description contains affiliate links that allow you to find the items that I personally use and recommend. Thank you for your support.