NVIDIA FY2027 EPS Estimate Increased by Erste Group Bank

Key Points

• Erste Group Bank raised NVIDIA’s FY2027 EPS estimate slightly to $9.24 from $9.23, broadly in line with the $9.25 analyst consensus.
• NVIDIA’s latest quarter exceeded expectations, with EPS of $2.22 versus $2.09 expected and revenue of $96.22 billion, up 105.9% year over year. Analysts maintain a consensus “Buy” rating with an average price target of $324.34.
• Growth prospects remain supported by strong AI infrastructure demand, but investors face risks from competition, rising memory costs, potential AI-spending moderation and the stock’s elevated valuation; insiders have also sold roughly $392.7 million in shares over the past 90 days.

NVIDIA Corporation (NASDAQ:NVDA - Free Report) - Erste Group Bank boosted their FY2027 earnings per share (EPS) estimates for NVIDIA in a research note issued on Friday, September 18th. Erste Group Bank analyst H. Engel now forecasts that the computer hardware maker will post earnings of $9.24 per share for the year, up from their prior estimate of $9.23. The consensus estimate for NVIDIA's current full-year earnings is $9.25 per share.

NVIDIA (NASDAQ:NVDA - Get Free Report) last issued its earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share for the quarter, beating the consensus estimate of $2.09 by $0.13. NVIDIA had a net margin of 63.66% and a return on equity of 96.04%. The firm had revenue of $96.22 billion for the quarter, compared to analysts' expectations of $92.27 billion. During the same quarter last year, the company earned $1.05 earnings per share. The firm's revenue was up 105.9% compared to the same quarter last year.

A number of other brokerages have also weighed in on NVDA. Stifel Nicolaus set a $315.00 price objective on shares of NVIDIA in a report on Thursday, August 27th. Cantor Fitzgerald reiterated an "overweight" rating and set a $350.00 target price on shares of NVIDIA in a research note on Monday, August 24th. Wall Street Zen raised NVIDIA from a "buy" rating to a "strong-buy" rating in a report on Saturday, August 29th. TD Cowen restated a "buy" rating on shares of NVIDIA in a research note on Tuesday, August 18th. Finally, Jefferies Financial Group reaffirmed a "buy" rating on shares of NVIDIA in a research report on Wednesday, August 26th. Three analysts have rated the stock with a Strong Buy rating, fifty have given a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Buy" and an average target price of $324.34.

NVIDIA Stock Performance

NASDAQ NVDA opened at $222.27 on Monday. NVIDIA has a 52 week low of $164.27 and a 52 week high of $236.54. The firm has a 50 day moving average of $214.66 and a two-hundred day moving average of $204.44. The company has a quick ratio of 3.85, a current ratio of 4.59 and a debt-to-equity ratio of 0.14. The stock has a market capitalization of $5.36 trillion, a PE ratio of 28.10, a price-to-earnings-growth ratio of 1.72 and a beta of 2.22.

NVIDIA Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th will be given a dividend of $0.25 per share. The ex-dividend date is Thursday, September 10th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.4%. NVIDIA's payout ratio is 12.64%.

Insider Transactions at NVIDIA

In other news, EVP Timothy Teter sold 30,000 shares of the business's stock in a transaction dated Monday, August 31st. The stock was 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 directly owned 2,687,660 shares of the company's stock, valued at approximately $585,587,360.80. The trade was a 1.10% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark Stevens sold 622,239 shares of the company's stock in a transaction dated 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 completion of the sale, the director directly owned 2,336,531 shares of the company's stock, valued at approximately $541,187,310.22. This trade represents a 21.03% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 1,735,658 shares of company stock worth $392,663,865. Corporate insiders own 3.94% of the company's stock.

Institutional Trading of NVIDIA

Several institutional investors and hedge funds have recently bought and sold shares of the business. Montgomery Financial Services LLC purchased a new position in shares of NVIDIA in the 2nd quarter valued at approximately $28,000. Lifetime Wealth Management P.C. purchased a new stake in shares of NVIDIA during the fourth quarter worth approximately $26,000. Longview Financial Advisors Inc. acquired a new stake in shares of NVIDIA during the first quarter worth $27,000. Phillip James Consulting Co. acquired a new stake in shares of NVIDIA during the first quarter worth $40,000. Finally, Syntax Research Inc. grew its position in NVIDIA by 62.5% in the 4th quarter. Syntax Research Inc. now owns 260 shares of the computer hardware maker's stock valued at $49,000 after buying an additional 100 shares during the last quarter. Hedge funds and other institutional investors own 65.27% of the company's stock.

More NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: CEO Jensen Huang said NVIDIA expects to sell roughly twice as many chips next year, reinforcing expectations that hyperscaler spending on AI data centers remains strong. The forecast includes demand for GPUs, CPUs, networking equipment and complete server racks. Nvidia Chip Sales Could Double Next Year, CEO Jensen Huang Says
• Positive Sentiment: Analysts and market commentators increasingly view NVIDIA as attractively valued relative to its growth. Its scale, diversified AI exposure, high profitability and lower forward valuation multiple give it an advantage over peers such as Credo, while some estimates suggest revenue growth could remain near 70% in fiscal 2028. Credo vs. NVIDIA After Earnings
• Positive Sentiment: AI infrastructure demand is expanding beyond processors into high-bandwidth memory and optical networking. NVIDIA has identified memory and silicon photonics as potential bottlenecks and has committed capital and purchase agreements involving suppliers such as Coherent and Lumentum, signaling sustained demand throughout its supply chain.
• Positive Sentiment: New ecosystem activity supports NVIDIA’s long-term growth narrative. Cloud partner CoreWeave is deploying next-generation Vera Rubin clusters, while NVIDIA-backed Nscale filed for a U.S. IPO. NVIDIA technology is also being used in autonomous trading systems, quantum-computing research and planned enterprise augmented-reality products.
• Neutral Sentiment: Speculative initiatives, including potential orbital data centers with SpaceX and NVIDIA’s quantum-computing software, could create future demand but are unlikely to materially affect near-term revenue.
• Negative Sentiment: Investors remain alert to competition from Huawei’s planned 2027 Ascend chips, possible AI-spending deceleration, rising memory costs that could pressure gross margins, and the effects of higher interest rates. The stock’s elevated valuation and dependence on continued hyperscaler capital expenditure also leave it sensitive to disappointing guidance.

About NVIDIA

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company's offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.

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