NVIDIA (NASDAQ:NVDA) Shares Up 1.6% – Should You Buy?

Shares of NVIDIA Corporation (NASDAQ:NVDA) shot up 1.6% on Wednesday . The stock traded as high as $192.35 and last traded at $191.52. 145,907,263 shares were traded during mid-day trading, a decline of 10% from the average session volume of 162,311,438 shares. The stock had previously closed at $188.52.

Key NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Wolfe Research raised its price target to $275 and kept an “outperform” rating, signaling meaningful upside from current levels and supporting investor confidence. Wolfe Research adjusts NVIDIA price target to $275
• Positive Sentiment: Reuters reports China has conditionally approved DeepSeek to buy Nvidia H200 chips — a potential reopening of a major market that reduces a key geopolitical risk to revenue. China conditionally approves DeepSeek to buy Nvidia’s H200 chips
• Positive Sentiment: Reports say Nvidia is part of talks (with Microsoft, Amazon) to invest in OpenAI as part of a very large funding round — a strategic tie to the biggest AI software player that could boost long-term demand. Nvidia, Microsoft, Amazon in talks to invest up to $60 billion in OpenAI
• Positive Sentiment: Sanford C. Bernstein reaffirmed a Buy on NVDA, reinforcing sell-side bullishness and analyst support for the thesis. Sanford C. Bernstein Reaffirms Buy Rating for NVIDIA
• Neutral Sentiment: CEO Jensen Huang says AI memory requirements are rising and backs TSMC expansion — a reminder NVIDIA depends on the broader supply chain and that ecosystem capacity is crucial for growth. Jensen Huang says AI memory needs are rising
• Neutral Sentiment: Microsoft says it will continue buying third?party AI chips even as it develops its own — this limits a key competitive risk but keeps competitive dynamics in play. Microsoft won’t stop buying AI chips from Nvidia
• Neutral Sentiment: Nvidia expanded its CoreWeave partnership with a $2B investment to accelerate AI data-center buildout, supporting long-term capacity and demand. NVIDIA invests $2B in CoreWeave
• Negative Sentiment: NYTimes warns Amazon and Google are eating into Nvidia’s AI chip supremacy — increased competition could pressure pricing and growth rates over time. Amazon and Google eat into Nvidia’s AI chip supremacy
• Negative Sentiment: Macro and market-risk commentary (including Michael Burry warnings) and repeated notes about NVDA’s high valuation are keeping some traders cautious, which can amplify intraday pullbacks. Michael Burry’s stark warning

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on the company. Mizuho set a $275.00 target price on NVIDIA and gave the company an “outperform” rating in a report on Friday, January 9th. Sanford C. Bernstein reissued a “buy” rating on shares of NVIDIA in a research note on Wednesday. Rothschild & Co Redburn raised their price target on NVIDIA from $245.00 to $268.00 and gave the stock a “buy” rating in a research note on Thursday, January 15th. Wolfe Research boosted their target price on shares of NVIDIA from $250.00 to $275.00 and gave the company an “outperform” rating in a report on Friday. Finally, HSBC set a $320.00 price target on shares of NVIDIA and gave the stock a “buy” rating in a research note on Wednesday, October 15th. Four research analysts have rated the stock with a Strong Buy rating, forty-seven have assigned a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Buy” and an average price target of $263.98.

NVIDIA Stock Down 0.7%

The company’s 50-day moving average price is $184.09 and its 200 day moving average price is $182.46. The company has a debt-to-equity ratio of 0.06, a quick ratio of 3.71 and a current ratio of 4.47. The stock has a market cap of $4.64 trillion, a PE ratio of 47.43, a price-to-earnings-growth ratio of 0.94 and a beta of 2.31.

NVIDIA (NASDAQ:NVDA) last announced its earnings results on Wednesday, November 19th. The computer hardware maker reported $1.30 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.23 by $0.07. NVIDIA had a net margin of 53.01% and a return on equity of 99.24%. The company had revenue of $57.01 billion during the quarter, compared to analyst estimates of $54.66 billion. During the same period in the previous year, the business posted $0.81 earnings per share. The firm’s quarterly revenue was up 62.5% compared to the same quarter last year. As a group, analysts forecast that NVIDIA Corporation will post 2.77 EPS for the current fiscal year.

NVIDIA Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, December 26th. Shareholders of record on Thursday, December 4th were issued a dividend of $0.01 per share. This represents a $0.04 annualized dividend and a yield of 0.0%. The ex-dividend date of this dividend was Thursday, December 4th. NVIDIA’s payout ratio is currently 0.99%.

Insiders Place Their Bets

In other news, CFO Colette Kress sold 27,640 shares of the firm’s stock in a transaction dated Tuesday, January 13th. The stock was sold at an average price of $184.92, for a total value of $5,111,188.80. Following the transaction, the chief financial officer owned 874,412 shares of the company’s stock, valued at $161,696,267.04. This trade represents a 3.06% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Mark A. Stevens sold 222,500 shares of the business’s stock in a transaction that occurred on Friday, December 19th. The shares were sold at an average price of $180.17, for a total value of $40,087,825.00. Following the transaction, the director owned 7,621,453 shares of the company’s stock, valued at approximately $1,373,157,187.01. This trade represents a 2.84% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 1,611,474 shares of company stock valued at $293,285,232. 4.17% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On NVIDIA

Hedge funds have recently made changes to their positions in the company. Harbor Asset Planning Inc. bought a new stake in shares of NVIDIA in the 2nd quarter worth about $28,000. Winnow Wealth LLC purchased a new stake in NVIDIA in the 2nd quarter worth about $32,000. Longfellow Investment Management Co. LLC lifted its stake in NVIDIA by 47.9% in the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock worth $33,000 after purchasing an additional 67 shares during the last quarter. Spurstone Advisory Services LLC purchased a new position in shares of NVIDIA during the second quarter valued at approximately $40,000. Finally, Sellwood Investment Partners LLC bought a new position in shares of NVIDIA during the third quarter valued at approximately $50,000. 65.27% of the stock is currently owned by hedge funds and other institutional investors.

NVIDIA Company Profile

NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.

The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.