Nvidia Stock Could Be Worth $200 Per Share Based on Its FCF, +53% More

Nvidia Inc (NVDA) stock could still be undervalued here, despite its runup lately. This is based on a valuation using its powerful free cash flow (FCF) and FCF margins. That means NVDA stock could be worth $200 per share or 53% more. One way to play this is to short out-of-the-money puts.

This valuation assumes that Nvidia will make at least 53.5% FCF margins over the next year and that analysts' revenue forecasts come true. This article will explain how this works out.