Is it strongly undervalued now?

Screening Filters

1. market_cap_category = large

   • Purpose: Focus on large-cap companies.
   • Rationale: NVIDIA is a mega/large-cap stock, so this keeps the screen aligned with a company of similar scale, liquidity, and analyst coverage. It also helps compare NVDA with other mature, institutionally followed names rather than smaller, more speculative companies.

2. market_cap >= 10,000,000,000

   • Purpose: Exclude small and mid-cap stocks.
   • Rationale: A “strongly undervalued” discussion is more meaningful when applied to established businesses with proven scale. Large-cap names are also more likely to have reliable valuation metrics and less distortion from thin trading.

3. moving_average_relationship = PriceBelowMA200

   • Purpose: Find stocks trading below their 200-day moving average.
   • Rationale: This is a common way to identify stocks that have pulled back from prior highs. Since the user is asking whether NVDA is undervalued now, stocks below the 200-day moving average may have weakened enough to merit a valuation check or rebound setup.

4. support_resistance_relationship = PriceAroundSupport

   • Purpose: Find stocks near support levels.
   • Rationale: If a stock is near support, it may be closer to a zone where buyers have historically stepped in. That is useful when evaluating whether a stock like NVDA is “cheap enough” or potentially oversold relative to recent price action.

5. themes = Semiconductor Equipment & Materials, AI Beneficiary, Big Data, Cloud Computing, The Internet of Things, Software as a Service

   • Purpose: Restrict results to growth-oriented technology themes similar to NVIDIA’s business exposure.
   • Rationale: NVDA’s investment case is heavily tied to AI, data-center demand, cloud infrastructure, and broader computing themes. These filters keep the screen relevant to companies where valuation debates are often tied to long-term growth expectations, just like NVDA.

6. list_exchange = XNYS, XNAS, XASE

   • Purpose: Limit the screen to major U.S. exchanges.
   • Rationale: NVIDIA is listed on NASDAQ, and major U.S. exchanges generally provide higher reporting standards, liquidity, and analyst coverage. That improves the comparability of valuation ratios and growth metrics.

7. gross_margin >= 0

   • Purpose: Exclude companies with negative gross margins.
   • Rationale: Positive gross margins are a basic sign of business viability. For an “undervalued” screen, it helps avoid distressed firms that are cheap for a reason and keeps the focus on fundamentally sound companies.

8. return_on_equity >= 0

   • Purpose: Keep companies with non-negative shareholder returns.
   • Rationale: NVDA is known for strong profitability. Screening for positive ROE ensures the comparison set includes companies that are at least generating some return on equity, which is important when judging whether a stock deserves a premium or discount.

9. quarter_revenue_yoy_growth >= 0

   • Purpose: Require at least non-negative year-over-year quarterly revenue growth.
   • Rationale: A stock can look “cheap” because growth has deteriorated. This filter keeps the screen focused on companies still growing, which is especially relevant for NVIDIA-style growth names where valuation is partly justified by revenue expansion.

10. revenue_5yr_cagr >= 0

• Purpose: Require non-negative long-term revenue growth.
• Rationale: This helps exclude shrinking businesses. For a company like NVDA, strong multi-year growth is central to the thesis, so this filter keeps the screen aligned with companies that have demonstrated durable expansion over time.

11. pe_ttm <= 120

• Purpose: Put an upper bound on earnings valuation.
• Rationale: NVIDIA often trades at a premium, but if the user is asking whether it is “strongly undervalued,” valuation has to be measured against earnings. This filter removes extremely expensive names and keeps the universe within a range where valuation is at least analyzable.

12. ps_ratio <= 50

• Purpose: Put an upper bound on sales valuation.
• Rationale: For high-growth tech and semiconductor names, price-to-sales is often a more useful check than earnings alone. This filter prevents the screen from including companies with extreme sales multiples, making the set more relevant to a reasonable undervaluation discussion.

13. target_price_upside_potential = BelowPrice, AbovePrice, MoreAbovePrice

• Purpose: Include stocks with varying analyst target-price relationships to current price.
• Rationale: If the question is whether NVDA is undervalued, analyst price targets are one way to gauge market expectations. Including stocks with different target-price positioning helps surface names where current price may be below, near, or above consensus targets, which is directly relevant to valuation upside.

Why Results Match:

• The filters are designed to find large, profitable, growing U.S. tech and semiconductor-related stocks that are pulling back technically and may be trading near support.
• That combination is well suited to the question “Is NVIDIA strongly undervalued now?” because undervaluation is usually evaluated by blending:
  • fundamentals: growth, margins, ROE, valuation multiples
  • market context: price below long-term moving averages and near support
  • peer/theme context: AI, semiconductors, cloud, and other NVIDIA-adjacent segments
• In short, the screen looks for stocks that are fundamentally strong but recently weaker in price, which is exactly the type of setup you would examine when asking whether a premium-growth stock like NVDA has become undervalued.