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Company name NVIDIA Corporation
Stock ticker NVDA
Live stock price [stckqut]NVDA[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Good
EPS growth Good
P/E growth Poor
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $374.51
Target stock price (averages with growth) $476.01
Target stock price (averages with no growth) $323.33
Target stock price (manual assumptions) $377.02

The following company description is from Reuters: https://www.reuters.com/finance/stocks/company-profile/nvda

Nvidia Corporation, incorporated on February 24, 1998, focuses on personal computer (PC) graphics, graphics processing unit (GPU) and also on artificial intelligence (AI). The Company provides service to its customers through PC, mobile and cloud architectures. The Company operates through two segments: GPU and Tegra Processor, which are based on a single underlying architecture. The Company’s processor has created platforms that address four markets: Gaming, Professional Visualization, Datacenter, and Automotive. The Company’s GPU product brands are aimed at specialized markets, including GeForce for gamers; Quadro for designers; Tesla and DGX for AI data scientists and big data researchers, and GRID for cloud-based visual computing users. The Company’s Tegra brand integrates an entire computer onto a single chip, and incorporates GPUs and multi-core central processing units (CPUs) to drive supercomputing for mobile gaming and entertainment devices, as well as autonomous robots, drones and cars.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in NVIDIA Corporation as long as the indicators that I describe in my book The Confident Investor are favorable.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of NVIDIA Corporation calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(access_s2member_level1)]

In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $242.24
  • Growth: 0.2
  • Current EPS (TTM): $5.81
  • P/E: 42
  • Future EPS Calc: $14.45
  • Future Stock Price Calc: $607.19
  • Target stock price: $377.02

[/s2If]
I hope that this makes you a Confident Investor.

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Company name Netflix, Inc.
Stock ticker NFLX
Live stock price [stckqut]NFLX[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Good
EPS growth Good
P/E growth Good
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $614.72
Target stock price (averages with growth) $904.97
Target stock price (averages with no growth) $614.72
Target stock price (manual assumptions) $614.1

The following company description is from Reuters: https://www.reuters.com/finance/stocks/company-profile/nflx

Netflix, Inc., incorporated on August 29, 1997, is a provider an Internet television network. The Company operates through three segments: Domestic streaming, International streaming, and Domestic DVD. The Domestic streaming segment includes services that streams content to its members in the United States. The International streaming segment includes services that streams content to its members outside the United States. The Domestic DVD segment includes services, such as digital optical disc (DVD)-by-mail.

The Company’s members can watch original series, documentaries, feature films, as well as television shows and movies directly on their Internet-connected screen, televisions, computers and mobile devices. It offers its streaming services both domestically and internationally. In the United States, its members can receive DVDs delivered to their homes. The Company had members streaming in over 190 countries, as of December 31, 2016. Its subsidiaries include Netflix Entretenimento Brasil LTDA, Netflix K.K., Netflix International B.V., Netflix Streaming Services, Inc., NetflixCS, Inc. and Netflix Studios, LLC.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in Netflix, Inc. as long as the indicators that I describe in my book The Confident Investor are favorable.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Netflix, Inc. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(access_s2member_level1)]

In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $398.18
  • Growth: 0.2
  • Current EPS (TTM): $1.67
  • P/E: 238
  • Future EPS Calc: $4.15
  • Future Stock Price Calc: $989
  • Target stock price: $614.09

[/s2If]
I hope that this makes you a Confident Investor.

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Company name Micron Technology, Inc.
Stock ticker MU
Live stock price [stckqut]MU[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Good
EPS growth Good
P/E growth Poor
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $84.18
Target stock price (averages with growth) $123.93
Target stock price (averages with no growth) $84.18
Target stock price (manual assumptions) $83.87

The following company description is from Reuters: https://www.reuters.com/finance/stocks/company-profile/mu

Micron Technology, Inc., incorporated on April 6, 1984, is engaged in semiconductor systems. The Company’s portfolio of memory technologies, including dynamic random-access memory (DRAM), negative-AND (NAND) Flash, and NOR Flash are the basis for solid-state drives, modules, multi-chip packages and other system solutions. Its business segments include Compute and Networking Business Unit (CNBU), which includes memory products sold into compute, networking, graphics and cloud server markets; Mobile Business Unit (MBU), which includes memory products sold into smartphone, tablet and other mobile-device markets; Storage Business Unit (SBU), which includes memory products sold into enterprise, client, cloud and removable storage markets, and SBU also includes products sold to Intel through its Intel/Micron Flash Technology (IMFT) joint venture, and Embedded Business Unit (EBU), which includes memory products sold into automotive, industrial, connected home and consumer electronics markets. The Company’s memory solutions enable computing, consumer, enterprise storage, networking, mobile, embedded and automotive applications. The Company markets its products through internal sales force, independent sales representatives and distributors primarily to original equipment manufacturers (OEMs) and retailers located around the world.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in Micron Technology, Inc. as long as the indicators that I describe in my book The Confident Investor are favorable.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Micron Technology, Inc. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(access_s2member_level1)]

In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $54.48
  • Growth: 0.2
  • Current EPS (TTM): $9.87
  • P/E: 5.5
  • Future EPS Calc: $24.55
  • Future Stock Price Calc: $135.07
  • Target stock price: $83.87

[/s2If]
I hope that this makes you a Confident Investor.

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Company name Merck & Co., Inc.
Stock ticker MRK
Live stock price [stckqut]MRK[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Poor
EPS growth Poor
P/E growth Good
EBIT growth Fair

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $91.88
Target stock price (averages with growth) $101.76
Target stock price (averages with no growth) $69.62
Target stock price (manual assumptions) $76.43

The following company description is from Reuters: https://www.reuters.com/finance/stocks/company-profile/mrk

Merck & Co., Inc., incorporated in 1970, is a global healthcare company. The Company offers health solutions through its prescription medicines, vaccines, biologic therapies and animal health products. It operates through four segments: Pharmaceutical, Animal Health, Healthcare Services, and Alliances. The Company’s Pharmaceutical segment includes human health pharmaceutical and vaccine products marketed either directly by the Company or through joint ventures. Human health pharmaceutical products consist of therapeutic and preventive agents, generally sold by prescription, for the treatment of human disorders. The Company sells its human health pharmaceutical products primarily to drug wholesalers and retailers, hospitals, government agencies and managed healthcare providers, such as health maintenance organizations, pharmacy benefit managers, and other institutions. Vaccine products consist of preventive pediatric, adolescent and adult vaccines, primarily administered at physician offices.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in Merck & Co., Inc. as long as the price is correct and the indicators that I describe in my book The Confident Investor are favorable. Most of the fundamentals of this company are good but there are some concerns. I think there are better investments on the market so I am removing Merck from my Watch List.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Merck & Co., Inc. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(access_s2member_level1)]

In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $60.46
  • Growth: 0.15
  • Current EPS (TTM): $1.53
  • P/E: 40
  • Future EPS Calc: $3.07
  • Future Stock Price Calc: $123.09
  • Target stock price: $76.43

[/s2If]
I hope that this makes you a Confident Investor.

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Company name MarketAxess Holdings Inc.
Stock ticker MKTX
Live stock price [stckqut]MKTX[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Fair
EPS growth Good
P/E growth Poor
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $213.48
Target stock price (averages with growth) $266.3
Target stock price (averages with no growth) $213.03
Target stock price (manual assumptions) $218.96

The following company description is from Reuters: https://www.reuters.com/finance/stocks/company-profile/mktx

MarketAxess Holdings Inc., incorporated on April 11, 2000, operates an electronic trading platform that enables fixed-income market participants to trade corporate bonds and other types of fixed-income instruments using its trading technology. Institutional investor and broker-dealer firms are the users of its trading platform, accessing global liquidity in the United States corporate bonds, emerging markets and high-yield bonds, European bonds, the United States agency bonds, municipal bonds, credit default swaps and other fixed-income securities. Through its Open Trading protocols, the Company executes trades in certain bonds between and among institutional investor and broker-dealer clients in an all-to-all trading environment on a matched-principal basis. The Company also offers trading-related products and services, including market data to assist clients with trading decisions; connectivity solutions that facilitate straight-through processing; technology services to optimize trading environments, and execution services for exchange-traded fund managers and other clients. Through its Trax division, the Company also offers a range of pre- and post-trade services, including trade matching, regulatory transaction reporting, and market and reference data across a range of fixed-income and other products.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in MarketAxess Holdings Inc. as long as the indicators that I describe in my book The Confident Investor are favorable.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of MarketAxess Holdings Inc. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(access_s2member_level1)]

In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $200.72
  • Growth: 0.12
  • Current EPS (TTM): $4.35
  • P/E: 46
  • Future EPS Calc: $7.66
  • Future Stock Price Calc: $352.64
  • Target stock price: $218.96

[/s2If]
I hope that this makes you a Confident Investor.