608,010 NVIDIA Corporation $NVDA Shares Sold by Avala Global LP

Key Points

• Avala Global LP cut its NVIDIA position by 54% in the second quarter, selling 608,010 shares and retaining 517,500 shares valued at approximately $103.5 million. Institutional investors collectively own 65.27% of NVIDIA.
• NVIDIA reported stronger-than-expected quarterly results, with $2.22 in EPS and $96.22 billion in revenue, up 105.9% year over year. The company also authorized a $150 billion share-repurchase plan.
• Analyst sentiment remains strongly positive, with a consensus “Buy” rating and an average price target of $321.89, although investors face concerns about potentially debt-funded AI spending, insider selling and mixed options activity.

Avala Global LP decreased its holdings in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 54.0% during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 517,500 shares of the computer hardware maker's stock after selling 608,010 shares during the quarter. NVIDIA makes up approximately 3.8% of Avala Global LP's holdings, making the stock its 13th biggest holding. Avala Global LP's holdings in NVIDIA were worth $103,547,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other large investors have also recently bought and sold shares of the business. Lifetime Wealth Management P.C. acquired a new stake in shares of NVIDIA during the 4th quarter worth approximately $26,000. Longview Financial Advisors Inc. bought a new stake in shares of NVIDIA in the 1st quarter worth approximately $27,000. Phillip James Consulting Co. bought a new stake in shares of NVIDIA in the 1st quarter worth approximately $40,000. Bard Associates Inc. boosted its position in NVIDIA by 8,866.7% during the 2nd quarter. Bard Associates Inc. now owns 269 shares of the computer hardware maker's stock valued at $54,000 after purchasing an additional 266 shares during the period. Finally, Frankly Finances LLC acquired a new position in NVIDIA during the 2nd quarter valued at approximately $60,000. Institutional investors own 65.27% of the company's stock.

Key Headlines Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: AI infrastructure demand remains robust. TSMC reported third-quarter revenue growth of 50%, while analysts cited continued hyperscaler spending and projected U.S. data-center capital expenditures of roughly $2 trillion next year—supportive of NVIDIA’s accelerator demand. NVIDIA AI spending outlook
• Positive Sentiment: SpaceX reportedly plans to raise as much as $40 billion to purchase NVIDIA AI chips, highlighting the scale of demand from emerging AI customers. NVIDIA also committed $1 billion over five years to U.S. scientific research in areas including quantum computing, healthcare and energy security. SpaceX NVIDIA chip purchase report
• Neutral Sentiment: Options activity is mixed: a large bullish trade suggests some investors expect further gains, but heavier put buying in the semiconductor ETF indicates increased hedging and caution across the chip sector. Technical analysts also see resistance near $235 and potential support around $215–$220. NVIDIA and semiconductor options activity
• Negative Sentiment: Investors remain concerned that AI spending may be debt-funded and approaching a peak. The withdrawal of NVIDIA-backed Firmus Grid’s proposed multibillion-dollar IPO, alongside reports that OpenAI’s annualized revenue was below earlier expectations, has raised questions about AI infrastructure valuations and customer funding. Firmus IPO withdrawal
• Negative Sentiment: Leadership and governance headlines add limited uncertainty: NVIDIA’s head of corporate communications left after roughly four months, while a legal challenge to the company’s Groq technology transaction could create additional execution and reputational risk. NVIDIA communications chief departure

NVIDIA Stock Performance

NVIDIA stock opened at $229.28 on Monday. The firm has a market cap of $5.53 trillion, a price-to-earnings ratio of 28.99, a price-to-earnings-growth ratio of 1.77 and a beta of 2.22. NVIDIA Corporation has a 1 year low of $164.27 and a 1 year high of $243.37. The firm's 50 day moving average price is $222.66 and its two-hundred day moving average price is $209.66. The company has a debt-to-equity ratio of 0.14, a quick ratio of 3.85 and a current ratio of 4.59.

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

NVIDIA declared that its Board of Directors has approved a share repurchase plan on Monday, September 28th that permits the company to buy back $150.00 billion in outstanding shares. This repurchase authorization permits the computer hardware maker to purchase up to 2.8% of its shares through open market purchases. Stock repurchase plans are usually an indication that the company's board believes its shares are undervalued.

NVIDIA Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th were issued a dividend of $0.25 per share. The ex-dividend date was 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 currently 12.64%.

Insiders Place Their Bets

In other news, CFO Colette Kress sold 34,918 shares of the stock in a transaction that occurred on 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 completion of the sale, the chief financial officer directly owned 765,103 shares of the company's stock, valued at $167,595,812.15. This represents a 4.36% decrease in their ownership of the stock. 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, Director Mark A. Stevens sold 622,239 shares of the stock in a transaction that occurred on Friday, September 4th. The stock was sold at an average price of $231.62, for a total transaction 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 $541,187,310.22. This trade represents a 21.03% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 1,766,118 shares of company stock worth $399,450,353. Corporate insiders own 3.94% of the company's stock.

Wall Street Analyst Weigh In

A number of brokerages recently commented on NVDA. Truist Financial upped their price objective on NVIDIA from $307.00 to $346.00 and gave the stock a "buy" rating in a research note on Thursday, August 27th. Phillip Securities boosted their target price on shares of NVIDIA from $285.00 to $300.00 and gave the company a "buy" rating in a research note on Monday, August 31st. Evercore set a $465.00 target price on shares of NVIDIA and gave the stock an "outperform" rating in a research report on Thursday, August 27th. Piper Sandler assumed coverage on shares of NVIDIA in a research report on Wednesday, September 9th. They issued an "overweight" rating and a $300.00 target price for the company. Finally, Rosenblatt Securities restated a "buy" rating and issued a $390.00 price target on shares of NVIDIA in a research note on Tuesday, September 29th. Five equities research analysts have rated the stock with a Strong Buy rating, forty-nine have given a Buy rating and one has given a Hold rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Buy" and an average price target of $321.89.

NVIDIA 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.

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