WallStSmart

Arm Holdings plc American Depositary Shares (ARM)vsNVIDIA Corporation (NVDA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NVIDIA Corporation generates 4523% more annual revenue ($215.94B vs $4.67B). NVDA leads profitability with a 55.6% profit margin vs 17.2%. NVDA appears more attractively valued with a PEG of 0.74. NVDA earns a higher WallStSmart Score of 79/100 (B+).

ARM

Buy

52

out of 100

Grade: C-

Growth: 6.0Profit: 7.0Value: 4.7Quality: 7.8
Piotroski: 5/9Altman Z: 3.75

NVDA

Strong Buy

79

out of 100

Grade: B+

Growth: 10.0Profit: 10.0Value: 9.3Quality: 8.5
Piotroski: 3/9Altman Z: 6.75
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ARMSignificantly Overvalued (-2356.5%)

Margin of Safety

-2356.5%

Fair Value

$5.10

Current Price

$132.35

$127.25 premium

UndervaluedFair: $5.10Overvalued
NVDAUndervalued (+24.5%)

Margin of Safety

+24.5%

Fair Value

$228.85

Current Price

$172.70

$56.15 discount

UndervaluedFair: $228.85Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ARM3 strengths · Avg: 9.0/10
Altman Z-ScoreHealth
3.7510/10

Safe zone — low bankruptcy risk

Market CapQuality
$140.56B9/10

Large-cap with strong market position

Revenue GrowthGrowth
26.3%8/10

Revenue surging 26.3% year-over-year

NVDA6 strengths · Avg: 10.0/10
Market CapQuality
$4.34T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
101.5%10/10

Every $100 of equity generates 102 in profit

Profit MarginProfitability
55.6%10/10

Keeps 56 of every $100 in revenue as profit

Operating MarginProfitability
65.0%10/10

Strong operational efficiency at 65.0%

Revenue GrowthGrowth
73.2%10/10

Revenue surging 73.2% year-over-year

EPS GrowthGrowth
95.6%10/10

Earnings expanding 95.6% YoY

Areas to Watch

ARM4 concerns · Avg: 3.0/10
PEG RatioValuation
1.874/10

Expensive relative to growth rate

Price/BookValuation
18.0x4/10

Trading at 18.0x book value

P/E RatioValuation
176.5x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-12.3%2/10

Earnings declined 12.3%

NVDA3 concerns · Avg: 3.0/10
P/E RatioValuation
36.5x4/10

Premium valuation, high expectations priced in

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Price/BookValuation
26.7x2/10

Trading at 26.7x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : ARM

The strongest argument for ARM centers on Altman Z-Score, Market Cap, Revenue Growth. Profitability is solid with margins at 17.2% and operating margin at 15.4%. Revenue growth of 26.3% demonstrates continued momentum.

Bull Case : NVDA

The strongest argument for NVDA centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 55.6% and operating margin at 65.0%. Revenue growth of 73.2% demonstrates continued momentum.

Bear Case : ARM

The primary concerns for ARM are PEG Ratio, Price/Book, P/E Ratio. A P/E of 176.5x leaves little room for execution misses.

Bear Case : NVDA

The primary concerns for NVDA are P/E Ratio, Piotroski F-Score, Price/Book.

Key Dynamics to Monitor

ARM carries more volatility with a beta of 4.13 — expect wider price swings.

NVDA is growing revenue faster at 73.2% — sustainability is the question.

NVDA generates stronger free cash flow (34.9B), providing more financial flexibility.

Monitor SEMICONDUCTORS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

NVDA scores higher overall (79/100 vs 52/100), backed by strong 55.6% margins and 73.2% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Arm Holdings plc American Depositary Shares

TECHNOLOGY · SEMICONDUCTORS · USA

Arm Holdings plc architects, develops, and licenses central processing unit products and related technologies for semiconductor companies and original equipment manufacturers rely on to develop products.

NVIDIA Corporation

TECHNOLOGY · SEMICONDUCTORS · USA

Nvidia Corporation is an American multinational technology company incorporated in Delaware and based in Santa Clara, California. It designs graphics processing units (GPUs) for the gaming and professional markets, as well as system on a chip units (SoCs) for the mobile computing and automotive market.

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