NVIDIA (NASDAQ:NVDA) Trading Up 1.4% Following Earnings Beat

NVIDIA Corporation (NASDAQ:NVDA) shares traded up 1.4% during trading on Wednesday following a better than expected earnings announcement. The company traded as high as $197.63 and last traded at $195.6440. 206,451,953 shares changed hands during trading, an increase of 21% from the average session volume of 170,673,734 shares. The stock had previously closed at $192.85.

The computer hardware maker reported $1.62 earnings per share for the quarter, topping the consensus estimate of $1.54 by $0.08. The firm had revenue of $68.13 billion for the quarter, compared to analysts’ expectations of $65.56 billion. NVIDIA had a net margin of 55.60% and a return on equity of 110.96%. The business’s quarterly revenue was up 73.2% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.89 earnings per share.

NVIDIA Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Wednesday, March 11th will be issued a dividend of $0.01 per share. This represents a $0.04 dividend on an annualized basis and a yield of 0.0%. The ex-dividend date is Wednesday, March 11th. NVIDIA’s dividend payout ratio is currently 0.82%.

Key Stories Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Record quarter and aggressive guidance: NVDA topped estimates and guided to about $78B for the next quarter, reinforcing very strong AI demand and pushing many analysts to lift long?term forecasts. Nvidia’s forecast points to accelerating growth, as Vera Rubin starts hitting market
• Positive Sentiment: Wall Street is raising targets: Multiple firms raised price targets and reiterated buy/outperform views after the quarter, signaling continued analyst confidence in NVDA’s secular AI position. Analyst price target and rating updates
• Positive Sentiment: Strategic ecosystem wins — OpenAI round and partnerships: NVDA was named among corporate backers in a massive OpenAI funding round, which supports continued demand for Nvidia compute. OpenAI’s $110 billion funding round draws investment from Amazon, Nvidia, SoftBank
• Neutral Sentiment: China exposure remains uncertain: Nvidia has secured limited export licenses but says it has not yet generated meaningful China revenue, leaving a material market risk unresolved. Nvidia still hasn’t sold its U.S.-approved China AI chips — and it’s worried local AI rivals could take over
• Neutral Sentiment: Supply constraints in gaming GPUs: Management warned gaming?chip shortages may persist into year?end, a reminder that parts of the business face production/timing risks even as data center demand booms. Nvidia expects gaming chips shortage to last until year-end
• Negative Sentiment: “Sell?the?news” and sky?high expectations: Despite the beat, investors punished the stock because results had been largely priced in and the market is sensitive to any sign growth could decelerate; several outlets noted investors were “left wanting more.” Nvidia earnings showcase a harsh reality for AI stocks: Investors are getting harder and harder to please
• Negative Sentiment: Macro and market?wide forces: A hot Producer Price Index and rotation out of mega?cap tech pressured the Nasdaq and amplified NVDA’s pullback even though the company’s fundamentals remain strong. US Equity Indexes Fall This Week as Nvidia’s Blowout Quarterly Results Fail to Stem Broadening Market Leadership
• Negative Sentiment: Heightened competition and long?term risk debates: Coverage flagged growing competition (custom silicon from hyperscalers, AMD, Broadcom, Google) and investor concerns about sustainability of hyperscaler capex — these narratives amplify volatility around NVDA. Nvidia’s stock wrapping up tough week as Wall Street focuses more on competition than growth

Analyst Upgrades and Downgrades

NVDA has been the subject of several research analyst reports. Bank of America raised their price objective on shares of NVIDIA from $275.00 to $300.00 and gave the stock a “buy” rating in a report on Thursday. Robert W. Baird upped their price target on NVIDIA from $275.00 to $300.00 and gave the stock an “outperform” rating in a research note on Thursday. KeyCorp reiterated an “overweight” rating and issued a $275.00 price objective on shares of NVIDIA in a report on Monday. Needham & Company LLC restated a “buy” rating and set a $240.00 target price on shares of NVIDIA in a report on Thursday. Finally, CICC Research upped their target price on shares of NVIDIA from $228.00 to $240.60 and gave the stock an “outperform” rating in a research report on Friday. Four analysts have rated the stock with a Strong Buy rating, forty-seven have given a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Buy” and a consensus target price of $271.86.

Insider Buying and Selling at NVIDIA

In other news, Director Mark A. Stevens sold 350,000 shares of NVIDIA stock in a transaction on Friday, December 5th. The stock was sold at an average price of $181.73, for a total value of $63,605,500.00. Following the transaction, the director directly owned 7,049,803 shares in the company, valued at approximately $1,281,160,699.19. This trade represents a 4.73% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CFO Colette Kress sold 30,500 shares of the firm’s stock in a transaction that occurred on Friday, December 12th. The shares were sold at an average price of $178.11, for a total transaction of $5,432,355.00. Following the completion of the sale, the chief financial officer owned 1,286,826 shares of the company’s stock, valued at approximately $229,196,578.86. This trade represents a 2.32% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 1,610,848 shares of company stock worth $291,619,375. Insiders own 4.17% of the company’s stock.

Institutional Investors Weigh In On NVIDIA

A number of institutional investors and hedge funds have recently modified their holdings of NVDA. Southern Capital Services Inc. ADV purchased a new stake in shares of NVIDIA in the 4th quarter valued at $228,000. Arwa LLC purchased a new stake in NVIDIA in the 4th quarter worth approximately $986,000. Instrumental Wealth LLC boosted its position in NVIDIA by 2.4% in the 4th quarter. Instrumental Wealth LLC now owns 13,682 shares of the computer hardware maker’s stock worth $2,530,000 after purchasing an additional 326 shares in the last quarter. Compass Financial Services Inc grew its stake in shares of NVIDIA by 20.9% during the 4th quarter. Compass Financial Services Inc now owns 1,157 shares of the computer hardware maker’s stock worth $216,000 after purchasing an additional 200 shares during the period. Finally, 46 Peaks LLC purchased a new position in shares of NVIDIA during the 4th quarter valued at approximately $385,000. Institutional investors and hedge funds own 65.27% of the company’s stock.

NVIDIA Price Performance

The stock’s fifty day moving average is $186.43 and its 200-day moving average is $183.86. The stock has a market capitalization of $4.31 trillion, a PE ratio of 36.16, a P/E/G ratio of 0.54 and a beta of 2.31. The company has a debt-to-equity ratio of 0.06, a current ratio of 4.47 and a quick ratio of 3.71.

About NVIDIA

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.