Here's Why Nvidia (NVDA) is a Strong Growth Stock

Zacks
03-20

It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.

Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.

Why This 1 Growth Stock Should Be On Your Watchlist

Growth investors build their portfolios around companies that are financially strong and have a bright future, and the Growth Style Score helps take projected and historical earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.

Nvidia (NVDA)

NVIDIA Corporation is the worldwide leader in visual computing technologies and the inventor of the graphic processing unit, or GPU. Over the years, the company’s focus has evolved from PC graphics to artificial intelligence (AI) based solutions that now support high performance computing (HPC), gaming and virtual reality (VR) platforms.

NVDA boasts a Growth Style Score of A and VGM Score of B, and holds a Zacks Rank #2 (Buy) rating. Its bottom-line is projected to rise 46.8% year-over-year for 2026, while Wall Street anticipates its top line to improve by 50.9%.

14 analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.18 to $4.39 per share. NVDA also boasts an average earnings surprise of 7.9%.

Nvidia is also cash rich. The company has generated cash flow growth of 87.5%, and is expected to report cash flow expansion of 140.5% in 2026.

With solid fundamentals, a good Zacks Rank, and top-tier Growth and VGM Style Scores, NVDA should be on investors' short lists.

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NVIDIA Corporation (NVDA) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

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