Graphics chip maker Nvidia (NVDA) is another cash-rich tech name right now. Better yet, it's another bargain-priced name in 2014 that's gaining momentum this month. With more than $3.3 billion in net cash, NVDA has 33% of its current market valuation paid for in cold, hard cash.
Nvidia is the largest graphics card maker, operating a duopoly with chipmaker AMD (AMD). As PCs largely become commoditized, NVIDIA remains one of a few component makers that's able to still earn deep margins for its efforts. But the firm has been differentiating its product portfolio outside of standalone PC graphics cards, at the same time that processor makers have been upping the horsepower users can wring from integrated graphics. Supercomputing and mobile device chips offer some interesting growth avenues for NVDA in the years ahead -- and they'll help boost the attractiveness of the firm's intellectual property portfolio as well.
That's key because, at current valuation levels, NVDA looks cheap right now. A full third of the firm's market cap is paid for in cash, and its $10 billion price tag makes it a digestible M&A target for a larger suitor in the tech sector with an ample cash position of its own. NVDA is worth keeping an eye on in 2014.
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