Cantor Fitzgerald Reaffirms Overweight Rating for NVIDIA (NASDAQ:NVDA)

Key Points

• Cantor Fitzgerald reaffirmed its Overweight rating on NVIDIA and set a $350 price target, implying approximately 53% upside from the reported share price. The broader analyst consensus remains Buy, with an average target of $324.14.
• NVIDIA exceeded quarterly expectations, reporting $2.22 in EPS versus $2.09 expected and revenue of $96.22 billion, up 105.9% year over year. The company also authorized a $150 billion share-repurchase program.
• Despite strong institutional ownership and analyst support, insiders sold roughly $399.5 million of stock over the past three months, while ongoing AI-cycle, competitive and regulatory risks remain considerations for investors.

NVIDIA (NASDAQ:NVDA - Get Free Report)'s stock had its "overweight" rating reiterated by research analysts at Cantor Fitzgerald in a report issued on Thursday, Benzinga reports. They presently have a $350.00 target price on the computer hardware maker's stock. Cantor Fitzgerald's price objective suggests a potential upside of 53.25% from the stock's current price.

Several other research firms have also weighed in on NVDA. Deutsche Bank Aktiengesellschaft reissued a "buy" rating on shares of NVIDIA in a research report on Monday, August 31st. Sanford C. Bernstein reissued a "buy" rating on shares of NVIDIA in a research report on Monday, September 21st. HSBC upped their target price on shares of NVIDIA from $360.00 to $365.00 in a research note on Thursday, August 27th. DZ Bank reissued a "buy" rating on shares of NVIDIA in a research report on Wednesday, August 26th. Finally, Citigroup reaffirmed a "buy" rating and issued a $315.00 price objective (up from $300.00) on shares of NVIDIA in a report on Thursday, August 27th. Four investment analysts have rated the stock with a Strong Buy rating, fifty have given a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, NVIDIA currently has an average rating of "Buy" and an average target price of $324.14.

NVIDIA Trading Up 0.5%

NASDAQ NVDA opened at $228.38 on Thursday. The firm has a market capitalization of $5.50 trillion, a PE ratio of 28.87, a price-to-earnings-growth ratio of 1.76 and a beta of 2.22. The business's 50-day moving average price is $217.76 and its two-hundred day moving average price is $206.94. 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 has a 12 month low of $164.27 and a 12 month high of $236.54.

NVIDIA (NASDAQ:NVDA - Get Free Report) last posted its quarterly earnings data on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, topping analysts' consensus estimates of $2.09 by $0.13. The company had revenue of $96.22 billion for the quarter, compared to analyst estimates of $92.27 billion. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%.The firm's quarterly revenue was up 105.9% on a year-over-year basis. During the same period in the previous year, the firm earned $1.05 earnings per share. On average, analysts expect that NVIDIA will post 9.25 EPS for the current year.

NVIDIA announced that its board has authorized a stock repurchase plan on Monday, September 28th that allows the company to repurchase $150.00 billion in outstanding shares. This repurchase authorization allows the computer hardware maker to reacquire up to 2.8% of its shares through open market purchases. Shares repurchase plans are often an indication that the company's leadership believes its stock is undervalued.

Insider Buying and Selling

In other news, EVP Timothy S. Teter sold 30,460 shares of the company's stock in a transaction dated Monday, September 21st. The stock was sold at an average price of $222.80, for a total value of $6,786,488.00. Following the completion of the transaction, the executive vice president directly owned 2,687,660 shares in the company, valued at approximately $598,810,648. This represents a 1.12% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Colette Kress sold 34,918 shares of the firm's stock in a transaction dated Thursday, September 17th. The shares were sold at an average price of $219.05, for a total value of $7,648,787.90. Following the transaction, the chief financial officer directly owned 765,103 shares in the company, valued at approximately $167,595,812.15. This represents a 4.36% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 1,766,118 shares of company stock worth $399,450,353. Insiders own 3.94% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Boyd Wealth Management LLC boosted its stake in shares of NVIDIA by 273.4% during the second quarter. Boyd Wealth Management LLC now owns 9,145 shares of the computer hardware maker's stock valued at $1,830,000 after purchasing an additional 6,696 shares during the period. Altshuler Shaham Ltd increased its stake in shares of NVIDIA by 6,451.9% in the first quarter. Altshuler Shaham Ltd now owns 637,236 shares of the computer hardware maker's stock worth $111,134,000 after buying an additional 627,510 shares during the period. Storen Legacy Partners LLC bought a new stake in NVIDIA during the 4th quarter valued at $1,350,000. Baker Tilly Wealth Management LLC boosted its position in NVIDIA by 7.4% during the 2nd quarter. Baker Tilly Wealth Management LLC now owns 71,898 shares of the computer hardware maker's stock valued at $14,386,000 after buying an additional 4,958 shares during the period. Finally, Arrowstreet Capital Limited Partnership grew its holdings in NVIDIA by 3.6% in the 4th quarter. Arrowstreet Capital Limited Partnership now owns 26,652,420 shares of the computer hardware maker's stock worth $4,970,704,000 after acquiring an additional 936,506 shares during the last quarter. 65.27% of the stock is owned by hedge funds and other institutional investors.

NVIDIA News Roundup

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Large buyback reinforces management confidence: NVIDIA authorized an additional $150 billion in repurchases, bringing total remaining capacity to approximately $235 billion through fiscal 2028. The plan could support earnings per share and signals that management views the shares as attractively valued. NVIDIA buyback article
• Positive Sentiment: AI demand remains the core catalyst: Analysts continue to point to strong demand for NVIDIA’s Vera Rubin platform, hyperscaler capital spending and the company’s full-stack AI ecosystem. Recent commentary cited 117% year-over-year data-center growth and continued customer demand, while Rosenblatt reaffirmed its Buy rating with a $390 price target. NVIDIA growth outlook article
• Positive Sentiment: Expansion beyond GPUs could widen NVIDIA’s moat: Investments in AI infrastructure providers such as GMI Cloud, digital-twin deployments and AI safety software may increase demand for NVIDIA hardware, networking and software across more workloads.
• Neutral Sentiment: Regulatory debate is unresolved: CEO Jensen Huang and other technology leaders challenged Anthropic’s calls for stricter AI safeguards. President Trump’s support for industry self-regulation is favorable to near-term industry growth, but future policy changes remain a risk. AI safety regulation article
• Negative Sentiment: Financing concerns are becoming more prominent: Reuters reported that Wall Street is questioning the value of NVIDIA’s chips and related infrastructure in its financing strategy. If smaller neocloud operators struggle to repay loans or AI spending slows, NVIDIA could face demand, credit and reputational risks. Reuters NVIDIA financing article
• Negative Sentiment: AI-cycle and competitive risks remain: A pullback in hyperscaler capital expenditures could hit NVIDIA before it affects AI adopters such as Meta. China’s efforts to build alternatives around Huawei chips, along with high interest rates and bearish hedge-fund commentary, could limit further multiple expansion.

NVIDIA Company Profile

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processing units (GPUs), central processing units (CPUs), networking products and related software. Its technologies are used in artificial intelligence, data centers, scientific and technical computing, gaming, professional visualization, automotive systems and robotics.

The company's products include GeForce GPUs and gaming software, data center computing platforms, networking solutions, and enterprise software for AI development and deployment.