NVIDIA (NVDA) Stock Analysis Amid Google TPU Competition

On 2025-11-28 (07:33 EST), a Reddit discussion analyzed whether NVIDIA is a buy amid Google TPU competition. Key arguments: bullish (CUDA ecosystem lock-in, Blackwell/Rubin cost-effectiveness), bearish (PE ~43x overvaluation, margin compression risk), neutral (TPU power efficiency, AMD alternative) [Event Content].

• Short-term
  : NVDA down 2.08% (1-day) and 13% (1-month) as of 2025-12-01. Meta’s TPU deal news caused a ~4% dip, erasing ~$250B in market value [1].
• Medium-term
  : Analyst consensus target $250 (41.6% upside) [0].
• Sentiment
  : Cautious investor sentiment (13% monthly drop) vs 73.4% analyst buy ratings [0].

Metric	Value	Source
PE Ratio (TTM)	~43.29x	[0]
Net Profit Margin	~53.01%	[0]
Market Cap	~$4.3T	[0]
1-Month Price Change	-13%	[0]
Analyst Target	$250	[0]

• Direct: NVDA [0]
• Related: Semiconductors, Google Cloud [1][3]
• Upstream/Downstream: Meta, Google, AI startups [1][2]

1. NVDA revenue exposure to TPU-switching customers
2. TPU adoption by other hyperscalers
3. Real-world Blackwell/Rubin vs TPU cost-effectiveness

• Bullish
  : CUDA ecosystem lock-in [0][3]
• Bearish
  : TPU power efficiency (2x per watt) [2][4]
• Neutral
  : Data center revenue (88.3% of total) vulnerable, but gaming/automotive diversify [0]

• Margin compression risk from Meta’s TPU deal (53% → ~30%) [1][Event Content]
• Valuation risk (PE ~43x) [0]

1. Meta’s TPU deal finalization [1]
2. Blackwell/Rubin adoption [0]
3. Google TPU sales growth [2]

: This analysis is for informational purposes only and does not constitute investment advice. Always conduct your own research before making decisions.
: Past performance is not indicative of future results. Market conditions are subject to rapid change.