ABNB vs. NVDA: A Head-to-Head Stock Comparison

Company Overview

NVDA’s market capitalization of 3,438.94 billion USD is significantly greater than ABNB’s 84.23 billion USD, highlighting its more substantial market valuation.

NVDA carries a higher beta at 2.12, indicating it’s more sensitive to market moves, while ABNB (beta: 1.14) exhibits greater stability.

Performance Comparison

This chart compares the performance of ABNB and NVDA over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

This section compares the market valuation of ABNB and NVDA. Key takeaways regarding their valuation, when viewed within their industry context, are presented in the commentary that follows.

• NVDA’s Price-to-Earnings (P/E) ratio of 44.87 is very high. This signifies that its stock is trading at a premium, likely reflecting market optimism about its future growth, though it also implies a higher risk if these growth expectations are not met.
• NVDA’s Forward PEG ratio of 3.20 is very high. This signifies that its current stock price is notably elevated compared to its anticipated earnings growth rate, possibly indicating that the market has already factored in, or even exceeded, realistic future performance expectations.
• ABNB’s Price-to-Book (P/B) ratio of 10.52 and NVDA’s P/B ratio of 41.09 are both very high. For ABNB, this typically means the market assigns a much greater value to the company than its net accounting worth, often due to factors like robust intangible assets or superior growth prospects. NVDA’s high P/B also suggests investors have high expectations for its future performance and are pricing it well above its book value.

Dividend Comparison

ABNB currently offers no dividend yield, suggesting it may be reinvesting available cash back into the business for future growth, while NVDA provides a 0.03% dividend yield, offering investors a component of income return.

Financial Strength Metrics Comparison

Explore the financial strength details for ABNB and NVDA in the table below.