NVIDIA (NASDAQ:NVDA) Stock Gets Price Target Trim from DA Davidson

NVIDIA (NASDAQ:NVDA) had its price target trimmed by DA Davidson from $300.00 to $200.00 in a research report report published on Thursday, MarketBeat Ratings reports. The brokerage currently has a buy rating on the computer hardware maker’s stock.

Several other equities analysts have also commented on NVDA. China Renaissance increased their price objective on shares of NVIDIA from $319.00 to $330.00 and gave the company a “buy” rating in a research report on Monday, August 31st. Piper Sandler assumed coverage on shares of NVIDIA in a research report on Wednesday, September 9th. They set an “overweight” rating and a $300.00 target price on the stock. Morgan Stanley reissued an “overweight” rating and set a $300.00 target price on shares of NVIDIA in a research report on Wednesday. Evercore lowered shares of NVIDIA from an “outperform” rating to a “positive” rating and set a $186.00 price target on the stock. in a research note on Wednesday. Finally, Benchmark reaffirmed a “buy” rating and issued a $335.00 price target on shares of NVIDIA in a report on Thursday, August 27th. Five analysts have rated the stock with a Strong Buy rating, thirty-eight have given a Buy rating and thirteen have issued a Hold rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $277.89.

NVIDIA Stock Down 2.0%

NVIDIA stock traded down $3.34 during midday trading on Thursday, reaching $162.85. The company’s stock had a trading volume of 363,372,273 shares, compared to its average volume of 196,617,360. The stock’s 50-day simple moving average is $214.64 and its 200-day simple moving average is $204.12. The company has a debt-to-equity ratio of 0.14, a current ratio of 4.59 and a quick ratio of 3.85. NVIDIA has a 52-week low of $148.80 and a 52-week high of $243.37. The stock has a market capitalization of $3.92 trillion, a P/E ratio of 20.59, a PEG ratio of 1.28 and a beta of 2.21.

NVIDIA (NASDAQ:NVDA) last issued its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share for the quarter, topping the consensus estimate of $2.09 by $0.13. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%. The business had revenue of $96.22 billion during the quarter, compared to the consensus estimate of $92.27 billion. During the same quarter last year, the company earned $1.05 earnings per share. The company’s quarterly revenue was up 105.9% on a year-over-year basis. On average, sell-side analysts expect that NVIDIA will post 9.29 EPS for the current year.

NVIDIA Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, October 1st. Investors of record on Thursday, September 10th were issued a dividend of $0.25 per share. The ex-dividend date of this dividend was Thursday, September 10th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.6%. NVIDIA’s payout ratio is 12.64%.

NVIDIA announced that its Board of Directors has approved a share buyback plan on Monday, September 28th that permits the company to buy back $150 billion in outstanding shares. This repurchase authorization permits the computer hardware maker to buy up to 2.8% of its shares through open market purchases. Stock repurchase plans are typically a sign that the company’s board of directors believes its stock is undervalued.

Insider Activity at NVIDIA

In related news, Director Mark Stevens sold 622,239 shares of the stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of $231.62, for a total value of $144,122,997.18. Following the transaction, the director owned 2,336,531 shares in the company, valued at approximately $541,187,310.22. This represents a 21.03% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Timothy Teter sold 30,460 shares of the firm’s stock in a transaction that occurred on Monday, September 21st. The stock was sold at an average price of $222.80, for a total transaction of $6,786,488.00. Following the transaction, the executive vice president directly owned 2,687,660 shares of the company’s stock, valued at $598,810,648. This represents a 1.12% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 1,766,118 shares of company stock worth $399,450,353 over the last quarter. Insiders own 3.94% of the company’s stock.

Institutional Trading of NVIDIA

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. State Street Corp grew its position in NVIDIA by 1.5% during the 3rd quarter. State Street Corp now owns 1,025,075,347 shares of the computer hardware maker’s stock worth $234,355,574,000 after purchasing an additional 15,291,910 shares during the period. Bank of America Corp DE raised its stake in shares of NVIDIA by 2.2% during the 2nd quarter. Bank of America Corp DE now owns 195,366,864 shares of the computer hardware maker’s stock valued at $39,090,956,000 after buying an additional 4,165,875 shares during the last quarter. Amundi raised its stake in shares of NVIDIA by 10.4% during the 1st quarter. Amundi now owns 133,768,018 shares of the computer hardware maker’s stock valued at $23,329,141,000 after buying an additional 12,575,177 shares during the last quarter. Dimensional Fund Advisors LP lifted its holdings in shares of NVIDIA by 0.6% in the 1st quarter. Dimensional Fund Advisors LP now owns 94,521,253 shares of the computer hardware maker’s stock valued at $16,479,126,000 after buying an additional 555,221 shares during the period. Finally, Deutsche Bank AG lifted its holdings in shares of NVIDIA by 2.3% in the 2nd quarter. Deutsche Bank AG now owns 91,954,159 shares of the computer hardware maker’s stock valued at $18,399,108,000 after buying an additional 2,045,101 shares during the period. Institutional investors and hedge funds own 65.27% of the company’s stock.

NVIDIA News Summary

Here’s some of the latest news about NVDA:

• Positive Sentiment: Despite cutting its price target to $300, Rosenblatt Securities maintained a Buy rating; other coverage also points to continued investor optimism about NVIDIA’s long-term growth potential. Rosenblatt Securities rating
• Negative Sentiment: Reports connecting the leadership scandal to scrutiny of possible chip diversions to China have raised risks of regulatory action and reputational damage. The allegations remain under investigation, while U.S. lawmakers are seeking testimony. Congressional scrutiny
• Negative Sentiment: HSBC downgraded NVIDIA to Hold with a $170 target, and several firms have reduced price targets. Analysts also warn that leadership uncertainty could give chip rivals more opportunity to win business. HSBC downgrade coverage

About NVIDIA

NVIDIA Corporation develops graphics processing units (GPUs), accelerated computing platforms and related software. Founded in 1993, the company first became widely known for GPUs used in PC gaming and professional graphics. Its technology now also supports artificial intelligence, scientific computing and other data-intensive applications. NVIDIA’s offerings include GeForce products for gaming, data-center GPUs and systems for AI workloads, and networking products that connect computing infrastructure.