NVIDIA (NASDAQ:NVDA) Earns "Buy" Rating from Rosenblatt Securities

Key Points

• Rosenblatt Securities reaffirmed a “Buy” rating on NVIDIA and set a $390 price target, implying 70.72% upside from the prior close. Analysts overall rate the stock “Moderate Buy,” with an average target of $324.83.
• NVIDIA exceeded quarterly expectations, reporting $2.22 in earnings per share versus $2.09 expected and $96.22 billion in revenue versus $92.27 billion forecast; revenue increased 105.9% year over year.
• The company authorized an $80 billion share-repurchase program, while recent insider sales totaled $335.4 million over 90 days. Investors also face potential risks from rising costs, tariffs, cash-flow pressures and continued insider selling.

NVIDIA (NASDAQ:NVDA - Get Free Report)'s stock had its "buy" rating reaffirmed by Rosenblatt Securities in a report released on Friday, Benzinga reports. They currently have a $390.00 price objective on the computer hardware maker's stock. Rosenblatt Securities' price target indicates a potential upside of 70.72% from the stock's previous close.

Other analysts also recently issued research reports about the company. The Goldman Sachs Group reaffirmed a "neutral" rating and set a $300.00 target price (up from $285.00) on shares of NVIDIA in a research note on Thursday, August 27th. Needham & Company LLC increased their price target on NVIDIA from $270.00 to $300.00 and gave the stock a "buy" rating in a research note on Thursday, August 27th. Phillip Securities upped their price target on shares of NVIDIA from $285.00 to $300.00 and gave the company a "buy" rating in a research report on Monday. Seaport Research Partners raised their price objective on shares of NVIDIA from $140.00 to $180.00 and gave the stock a "sell" rating in a research note on Thursday, May 21st. Finally, Sanford C. Bernstein reiterated an "outperform" rating and set a $400.00 price objective (up from $315.00) on shares of NVIDIA in a research report on Thursday, August 27th. Two analysts have rated the stock with a Strong Buy rating, fifty have assigned a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $324.83.

NVIDIA Price Performance

NASDAQ NVDA opened at $228.45 on Friday. The company has a 50-day moving average price of $209.85 and a two-hundred day moving average price of $201.85. NVIDIA has a 52 week low of $164.07 and a 52 week high of $236.54. The stock has a market cap of $5.51 trillion, a price-to-earnings ratio of 28.88, a price-to-earnings-growth ratio of 1.76 and a beta of 2.22. The company has a current ratio of 4.59, a quick ratio of 3.85 and a debt-to-equity ratio of 0.14.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share for the quarter, beating analysts' consensus estimates of $2.09 by $0.13. The company had revenue of $96.22 billion for the quarter, compared to analysts' expectations of $92.27 billion. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%.The business's revenue for the quarter was up 105.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.05 earnings per share. Analysts forecast that NVIDIA will post 9.1 EPS for the current year.

NVIDIA announced that its board has approved a stock repurchase program on Wednesday, May 20th that authorizes the company to buyback $80.00 billion in shares. This buyback authorization authorizes the computer hardware maker to repurchase up to 1.5% of its stock through open market purchases. Stock buyback programs are usually an indication that the company's board believes its stock is undervalued.

Insider Buying and Selling

In other NVIDIA news, EVP Timothy S. Teter sold 30,000 shares of the stock in a transaction that occurred on Monday, August 31st. The shares were sold at an average price of $217.88, for a total value of $6,536,400.00. Following the completion of the sale, the executive vice president owned 2,687,660 shares in the company, valued at $585,587,360.80. This represents a 1.10% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark A. Stevens sold 885,000 shares of NVIDIA stock in a transaction on Thursday, June 18th. The shares were sold at an average price of $210.17, for a total transaction of $186,000,450.00. Following the sale, the director directly owned 5,207,271 shares of the company's stock, valued at $1,094,412,146.07. This trade represents a 14.53% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 1,563,501 shares of company stock worth $335,380,530 over the last ninety days. 3.94% of the stock is currently owned by insiders.

Hedge Funds Weigh In On NVIDIA

Hedge funds have recently modified their holdings of the stock. Lifetime Wealth Management P.C. acquired a new position in NVIDIA in the fourth quarter worth approximately $26,000. Longview Financial Advisors Inc. bought a new stake in NVIDIA in the first quarter worth approximately $27,000. Montgomery Financial Services LLC bought a new stake in NVIDIA in the second quarter worth approximately $28,000. Longfellow Investment Management Co. LLC increased its stake in shares of NVIDIA by 47.9% during the 2nd 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. Finally, Langley Wealth Management LLC acquired a new position in shares of NVIDIA during the 2nd quarter worth $34,000. 65.27% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Hugging Face acquisition expands NVIDIA’s AI moat: NVIDIA agreed to acquire open-source AI platform Hugging Face for approximately $12.93 billion. The deal could strengthen CUDA adoption, retain developers and give NVIDIA greater influence over model development and deployment. NVIDIA agrees to buy Hugging Face
• Positive Sentiment: AI demand remains well above expectations: Management’s outlook for roughly 70% revenue growth in fiscal 2028 is substantially above the approximately 45% growth analysts had modeled. Reports of a roughly $2 trillion backlog among cloud customers further support expectations for sustained data-center spending. NVIDIA cloud customer backlog
• Positive Sentiment: Broader ecosystem investments are accelerating: NVIDIA’s equity investments reached $99 billion, spanning AI developers, cloud providers and infrastructure companies such as OpenAI, CoreWeave and Nebius. Its partnerships in inference, networking, MediaTek and robotics also broaden potential revenue streams beyond GPUs. NVIDIA AI investments reach $99 billion
• Positive Sentiment: Customer commentary validates infrastructure demand: Dell’s stronger results and guidance, along with a reported $6 billion GPU deployment opportunity tied to Figure Robotics, provided additional evidence that enterprise, cloud and robotics customers continue investing heavily in NVIDIA systems. NVIDIA gains confidence from expanding AI customers
• Neutral Sentiment: New product opportunities: Lenovo and Acer are expected to launch RTX Spark-powered AI PCs in October, while NVIDIA continues developing Vera server CPUs and inference products. These initiatives could diversify growth but require successful adoption. NVIDIA RTX Spark AI PC launch
• Negative Sentiment: Margin and policy risks remain: Rising memory and networking costs may pressure gross margins, while semiconductor tariffs could disrupt supply chains. Investors are also monitoring weaker operating cash flow and higher receivables, suggesting customers may be taking longer to pay. NVIDIA margin risks from memory costs
• Negative Sentiment: Insider selling and concentration risk: Executives and directors recently sold substantial holdings under planned transactions. NVIDIA’s enormous market capitalization and significant weighting in major indexes also leave the stock sensitive to profit-taking, interest rates and any slowdown in AI capital spending. NVIDIA insider selling

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source