Bank of America Corp DE Acquires 4,165,875 Shares of NVIDIA Corporation $NVDA

Key Points

• Bank of America increased its NVIDIA stake by 2.2%, acquiring 4.17 million shares to hold 195.37 million shares valued at approximately $39.1 billion. NVIDIA represents about 2.5% of Bank of America’s portfolio, while institutional investors collectively own 65.27% of the stock.
• NVIDIA reported quarterly EPS of $2.22, beating estimates of $2.09, and revenue of $96.22 billion, up 105.9% year over year and above analyst expectations. The company also authorized a $150 billion share-repurchase program and declared a quarterly dividend of $0.25 per share.
• Analysts remain broadly bullish, with 49 Buy and five Strong Buy ratings and a consensus price target of $321.89. However, recent insider sales—including substantial transactions by a director and the CFO—indicate some executives have reduced their holdings.

Bank of America Corp DE lifted its stake in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 2.2% in the second quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 195,366,864 shares of the computer hardware maker's stock after buying an additional 4,165,875 shares during the quarter. NVIDIA makes up approximately 2.5% of Bank of America Corp DE's portfolio, making the stock its 4th biggest position. Bank of America Corp DE owned 0.81% of NVIDIA worth $39,090,956,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also recently added to or reduced their stakes in the business. Lifetime Wealth Management P.C. purchased a new position in shares of NVIDIA in the 4th quarter valued at $26,000. Longview Financial Advisors Inc. acquired a new position in NVIDIA during the 1st quarter worth approximately $27,000. Langley Wealth Management LLC acquired a new position in shares of NVIDIA during the 2nd quarter worth $34,000. Phillip James Consulting Co. purchased a new position in NVIDIA in the 1st quarter valued at approximately $40,000. Finally, Bard Associates Inc. grew its position in shares of NVIDIA by 8,866.7% in the second 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 last quarter. 65.27% of the stock is owned by institutional investors and hedge funds.

NVIDIA Price Performance

NASDAQ NVDA opened at $229.28 on Monday. The company has a debt-to-equity ratio of 0.14, a current ratio of 4.59 and a quick ratio of 3.85. NVIDIA Corporation has a 52-week low of $164.27 and a 52-week high of $243.37. The company has a 50 day simple moving average of $222.66 and a 200-day simple moving average of $209.66. The firm has a market capitalization 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 (NASDAQ:NVDA - Get Free Report) last announced its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, beating the consensus estimate of $2.09 by $0.13. The business had revenue of $96.22 billion during 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 firm's quarterly revenue was up 105.9% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.05 EPS. Equities research analysts predict that NVIDIA Corporation will post 9.25 earnings per share for the current fiscal year.

NVIDIA Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th were given a $0.25 dividend. The ex-dividend date of this dividend was Thursday, September 10th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.4%. NVIDIA's dividend payout ratio (DPR) is currently 12.64%.

NVIDIA declared that its Board of Directors has initiated a stock buyback 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 buy up to 2.8% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company's board believes its shares are undervalued.

Analyst Ratings Changes

NVDA has been the topic of several recent analyst reports. JPMorgan Chase & Co. upped their price objective on shares of NVIDIA from $280.00 to $320.00 and gave the company an "overweight" rating in a research note on Thursday, August 27th. President Capital raised their price target on shares of NVIDIA from $295.00 to $330.00 in a report on Thursday, August 27th. Rosenblatt Securities reiterated a "buy" rating and set a $390.00 price objective on shares of NVIDIA in a research note on Tuesday, September 29th. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating on shares of NVIDIA in a research note on Monday, August 31st. Finally, Itau BBA Securities lowered their price objective on NVIDIA from $256.00 to $218.00 in a research note on Wednesday, June 24th. Five analysts have rated the stock with a Strong Buy rating, forty-nine have assigned a Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Buy" and a consensus target price of $321.89.

Key NVIDIA News

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

Insider Buying and Selling at NVIDIA

In other NVIDIA news, Director Mark Stevens sold 622,239 shares of NVIDIA stock in a transaction that occurred on Friday, September 4th. The stock was sold at an average price of $231.62, for a total value of $144,122,997.18. Following the transaction, the director directly owned 2,336,531 shares of the company's stock, valued at $541,187,310.22. The trade was a 21.03% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CFO Colette Kress sold 34,918 shares of the stock in a transaction dated Thursday, September 17th. The shares were sold at an average price of $219.05, for a total transaction of $7,648,787.90. Following the completion of the sale, the chief financial officer owned 765,103 shares of the company's stock, valued at approximately $167,595,812.15. The trade was a 4.36% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 1,766,118 shares of company stock valued at $399,450,353 in the last 90 days. 3.94% of the stock is currently owned by insiders.

About NVIDIA

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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