NVIDIA Corp

FDGRX’s assets were invested across 394 holdings as of March 2016, two more than a quarter ago. It was managing assets worth $37.8 billion as of March’s end.

NVIDIA (NVDA), a popular name among PC gamers, made news at the GTC (GPU Technology Conference) 2016 from April 4 to 7, 2016.

Through its foundry business, Samsung provides chip manufacturing services to companies such as Qualcomm (QCOM), NVIDIA (NVDA), and Apple (AAPL).

South Korea–based (EWY) Samsung (SSNLF) is making efforts to boost revenue and maintain a double-digit margin amid slowing smartphone sales.

Nvidia’s free cash flow to net income ratio indicates that it has a strong capital structure to withstand headwinds and bear significant capital expenditure.

AMD and Intel seem to have a duopoly in the PC processor and server market, with Intel accounting for more than 80% share in the PC processor space and a 99% share in the server space.

Nvidia’s cost of goods sold is around 40% of its revenue, whereas Advanced Micro Devices’ COGS is more than 65%. Intel’s (INTC) COGS is below 40%.

Any defects found in Nvidia’s products would incur significant costs. Greater risks would arise if a defect were found after commercial shipment had begun.

Nvidia’s revenue depends on design wins. The company maintains strong relationships with customers to assist them in defining their new products.

Nvidia is looking to diversify its revenue stream by targeting customers in the automotive market. In fiscal 3Q16, its revenue from automotive rose 52% YoY.

Automotive semiconductor revenue has grown at a CAGR (compounded annual growth rate) of 8% between 2002 and 2012, according to McKinsey.

Marvell Technology was outperformed by its peers based on the gross profit margin and PBV ratio. ETFs outperformed it based on the price movement and PBV ratio.

A loss of technology leadership means that NVIDIA will lose its competitive advantage. This will lead to lower margins through lower revenues and increased R&D spending.

Consumer demand for the latest features and applications is huge. Endless technological innovation addresses that demand to a point, but has led to consistently shorter product life cycles.