Part of Nvidia Analysis
Transaction Comparables
A precedent transaction analysis using semiconductor deals including Xilinx, Tower Semiconductor, Maxim Integrated, and Cypress.
Mean LTM EV/Sales
5.67x
Precedent transaction set
Mean LTM EV/EBITDA
15.53x
Precedent transaction set
Mean LTM EBITDA price
$57.47
Nvidia implied share price
Written Analysis
A precedent transaction analysis using semiconductor deals including Xilinx, Tower Semiconductor, Maxim Integrated, and Cypress.
- 1
Built a semiconductor precedent set.
The workbook analyzes AMD/Xilinx, Intel/Tower Semiconductor, Analog Devices/Maxim Integrated, and Infineon/Cypress. It captures consideration mix, status, enterprise value, revenue, EBITDA, EBIT, net income, and deal premiums.
- 2
Translated deal multiples into Nvidia value.
The transaction set produces mean multiples of 5.67x LTM EV/Sales, 15.53x LTM EV/EBITDA, and 23.15x LTM P/E. Applying those to Nvidia implies share prices around $60.48, $57.47, and $66.45 respectively.
- 3
Proved precedents do not support Nvidia's market premium.
Even the high precedent cases produce implied prices far below Nvidia's modeled market price, with the high 2-year forward P/E case reaching about $303.48. The analysis shows that strategic semiconductor deal history does not explain Nvidia's trading valuation by itself.