NVIDIA (NASDAQ:NVDA) Shares Down 2.8% – Here’s Why

by · The Markets Daily

NVIDIA Corporation (NASDAQ:NVDA – Get Free Report) shares fell 2.8% during mid-day trading on Tuesday . The company traded as low as $179.65 and last traded at $181.36. 211,275,864 shares were traded during mid-day trading, a decline of 6% from the average session volume of 225,082,625 shares. The stock had previously closed at $186.60.

Wall Street Analyst Weigh In

NVDA has been the subject of several recent analyst reports. New Street Research reaffirmed a “buy” rating and set a $307.00 price objective on shares of NVIDIA in a research note on Thursday, October 30th. JPMorgan Chase & Co. reaffirmed a “buy” rating on shares of NVIDIA in a research note on Monday. Rosenblatt Securities upped their price target on shares of NVIDIA from $215.00 to $240.00 and gave the company a “buy” rating in a report on Monday, November 3rd. Susquehanna raised their price objective on shares of NVIDIA from $210.00 to $230.00 and gave the stock a “positive” rating in a research note on Thursday, November 13th. Finally, Daiwa Capital Markets boosted their target price on NVIDIA from $165.00 to $205.00 and gave the company an “outperform” rating in a research report on Wednesday, September 17th. Five research analysts have rated the stock with a Strong Buy rating, forty-one have given a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Buy” and a consensus price target of $240.49.

Read Our Latest Stock Analysis on NVIDIA

NVIDIA Stock Performance

The company has a debt-to-equity ratio of 0.08, a current ratio of 4.21 and a quick ratio of 3.60. The company has a market cap of $4.41 trillion, a PE ratio of 51.67, a price-to-earnings-growth ratio of 1.49 and a beta of 2.11. The business has a fifty day simple moving average of $185.97 and a two-hundred day simple moving average of $166.88.

NVIDIA (NASDAQ:NVDA – Get Free Report) last released its quarterly earnings results on Wednesday, August 27th. The computer hardware maker reported $1.05 EPS for the quarter, beating the consensus estimate of $1.01 by $0.04. NVIDIA had a net margin of 52.41% and a return on equity of 101.74%. The business had revenue of $46.74 billion during the quarter, compared to analyst estimates of $45.65 billion. During the same period in the prior year, the firm posted $0.68 earnings per share. The company’s quarterly revenue was up 55.6% on a year-over-year basis. NVIDIA has set its Q3 2026 guidance at EPS. Research analysts anticipate that NVIDIA Corporation will post 2.77 earnings per share for the current year.

NVIDIA Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, October 2nd. Shareholders of record on Thursday, September 11th were paid a $0.01 dividend. This represents a $0.04 annualized dividend and a yield of 0.0%. The ex-dividend date was Thursday, September 11th. NVIDIA’s dividend payout ratio (DPR) is 1.14%.

Insiders Place Their Bets

In other news, CEO Jen Hsun Huang sold 75,000 shares of the stock in a transaction on Wednesday, September 10th. The stock was sold at an average price of $177.57, for a total transaction of $13,317,750.00. Following the completion of the sale, the chief executive officer owned 72,248,366 shares in the company, valued at approximately $12,829,142,350.62. This represents a 0.10% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Harvey C. Jones sold 250,000 shares of the firm’s stock in a transaction on Thursday, September 18th. The stock was sold at an average price of $176.21, for a total value of $44,052,500.00. Following the completion of the sale, the director directly owned 7,183,280 shares of the company’s stock, valued at $1,265,765,768.80. The trade was a 3.36% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 3,251,577 shares of company stock valued at $583,143,187. 4.17% of the stock is currently owned by insiders.

Hedge Funds Weigh In On NVIDIA

Several hedge funds have recently modified their holdings of the stock. Harbor Asset Planning Inc. purchased a new stake in shares of NVIDIA during the second quarter valued at $28,000. Winnow Wealth LLC acquired a new stake in NVIDIA during the 2nd quarter worth about $32,000. Longfellow Investment Management Co. LLC grew its stake in NVIDIA by 47.9% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock valued at $33,000 after purchasing an additional 67 shares during the last quarter. Spurstone Advisory Services LLC acquired a new position in shares of NVIDIA in the second quarter valued at about $40,000. Finally, Kathleen S. Wright Associates Inc. raised its stake in shares of NVIDIA by 169.3% in the first quarter. Kathleen S. Wright Associates Inc. now owns 404 shares of the computer hardware maker’s stock worth $44,000 after purchasing an additional 254 shares during the last quarter. Institutional investors and hedge funds own 65.27% of the company’s stock.

About NVIDIA

(Get Free Report)

NVIDIA Corporation provides graphics and compute and networking solutions in the United States, Taiwan, China, Hong Kong, and internationally. The Graphics segment offers GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU or vGPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems; and Omniverse software for building and operating metaverse and 3D internet applications.

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