NVIDIA (NVDA) Earnings & Market Sentiment Analysis: Q3 2025 Results and Investor Debate

On 2025-11-28 (EST), NVIDIA reported Q3 results: $57B revenue (62% YoY), $31.8B net income (59% YoY), $1.30 EPS (60% YoY), with Q4 guidance of ~$65B revenue and75% gross margin. A Reddit discussion debated buying NVDA for business fundamentals vs AI hype, focusing on forward P/E (24-26x), competition risks, narrative shifts, and fiscal year confusion.

• Price Reaction
  : NVDA closed at $176.51 (-2.08% post-earnings) underperforming tech sector (+0.53%).
• Volatility
  : 1-month decline (-12.20%) vs 6-month gain (+30.93%) indicates mixed sentiment.
• Competitive Edge
  : Blackwell Ultra GPU has 5x advantage over Google TPU v6e and2x over AMD MI300X.

• Valuation
  : Trailing P/E (43.29x) vs forward (24-26x); 73.4% Buy ratings with $250 target (+41.6%).
• Dominance
  : Data Center (88.3% of revenue) underscores AI infrastructure leadership.
• Profitability
  : Net margin (53.01%) strong, but ROE (1.04%) is unexpectedly low.

• Missing financial metrics (debt, cash flow) from failed tool retrieval.
• Fiscal year clarity needed for accurate forward P/E.
• Market share trends vs competitors.
• ROE discrepancy explanation.

• Valuation risk (high trailing P/E).
• Competition from AMD, Intel, Google, Chinese players.
• Price volatility.
• Regulatory risks (CEO Senate meeting on export controls).
• ROE concern.