Capelight Capital Asset Management LP Increases Stock Holdings in NVIDIA Corporation $NVDA

Key Points

• Capelight Capital increased its NVIDIA stake by 39.4% in the second quarter, bringing its holdings to 46,000 shares valued at approximately $9.2 million. Institutional investors collectively own 65.27% of NVIDIA.
• NVIDIA reported strong quarterly results, with revenue rising 105.9% year over year to $96.22 billion and EPS of $2.22, exceeding analyst expectations. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $322.61.
• Despite institutional buying, insiders sold 1.9 million shares worth approximately $410.4 million over the past 90 days. NVIDIA also authorized an $80 billion share-buyback program and declared a quarterly dividend of $0.25 per share.

Capelight Capital Asset Management LP raised its holdings in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 39.4% in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 46,000 shares of the computer hardware maker's stock after purchasing an additional 13,000 shares during the quarter. NVIDIA accounts for approximately 4.4% of Capelight Capital Asset Management LP's investment portfolio, making the stock its 7th largest holding. Capelight Capital Asset Management LP's holdings in NVIDIA were worth $9,204,000 as of its most recent SEC filing.

A number of other large investors have also recently made changes to their positions in the stock. Norges Bank purchased a new position in shares of NVIDIA during the fourth quarter worth approximately $62,244,133,000. J. Stern & Co. LLP grew its stake in NVIDIA by 13,709.1% in the fourth quarter. J. Stern & Co. LLP now owns 125,760,307 shares of the computer hardware maker's stock worth $23,454,297,000 after purchasing an additional 124,849,603 shares in the last quarter. Cardano Risk Management B.V. grew its stake in NVIDIA by 896.4% in the fourth quarter. Cardano Risk Management B.V. now owns 78,123,960 shares of the computer hardware maker's stock worth $14,570,119,000 after purchasing an additional 70,283,539 shares in the last quarter. Capital Research Global Investors increased its holdings in NVIDIA by 16.1% during the 3rd quarter. Capital Research Global Investors now owns 165,377,852 shares of the computer hardware maker's stock worth $30,855,564,000 after purchasing an additional 22,896,705 shares during the period. Finally, Laurel Wealth Advisors LLC increased its holdings in NVIDIA by 15,496.1% during the 2nd quarter. Laurel Wealth Advisors LLC now owns 21,865,525 shares of the computer hardware maker's stock worth $3,454,534,000 after purchasing an additional 21,725,326 shares during the period. 65.27% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other news, Director Stephen C. Neal sold 15,500 shares of the stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the completion of the sale, the director owned 116,135 shares in the company, valued at approximately $25,053,803.55. This represents a 11.77% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Mark A. Stevens sold 885,000 shares of the firm's stock in a transaction on Thursday, June 18th. The stock was sold at an average price of $210.17, for a total value of $186,000,450.00. Following the completion of the sale, the director directly owned 5,207,271 shares of the company's stock, valued at $1,094,412,146.07. The trade was a 14.53% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 1,900,500 shares of company stock worth $410,449,265. Insiders own 3.94% of the company's stock.

NVIDIA Price Performance

NVDA opened at $227.98 on Friday. The firm has a market capitalization of $5.52 trillion, a PE ratio of 28.82, a price-to-earnings-growth ratio of 0.41 and a beta of 2.23. The company has a debt-to-equity ratio of 0.04, a current ratio of 3.44 and a quick ratio of 2.85. The business's 50-day moving average is $207.95 and its two-hundred day moving average is $200.66. NVIDIA Corporation has a 1 year low of $164.07 and a 1 year high of $236.54.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released 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. NVIDIA had a net margin of 63.66% and a return on equity of 107.00%. The business had revenue of $96.22 billion during the quarter, compared to analyst estimates of $92.27 billion. During the same period in the prior year, the firm posted $1.05 earnings per share. The company's quarterly revenue was up 105.9% on a year-over-year basis. Research analysts anticipate that NVIDIA Corporation will post 8.8 earnings per share for the current fiscal year.

NVIDIA declared that its board has initiated a stock buyback plan on Wednesday, May 20th that authorizes the company to buyback $80.00 billion in outstanding shares. This buyback authorization authorizes the computer hardware maker to reacquire up to 1.5% of its stock through open market purchases. Stock buyback plans are usually an indication that the company's leadership believes its stock is undervalued.

NVIDIA Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Thursday, September 10th will be issued a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 0.4%. The ex-dividend date of this dividend is Thursday, September 10th. NVIDIA's payout ratio is currently 15.31%.

Analyst Ratings Changes

NVDA has been the subject of several research reports. HSBC reiterated a "buy" rating and issued a $325.00 target price (up from $295.00) on shares of NVIDIA in a report on Tuesday, May 19th. Raymond James Financial set a $515.00 price objective on NVIDIA and gave the company a "strong-buy" rating in a report on Thursday. New Street Research lowered their price objective on shares of NVIDIA from $343.00 to $340.00 in a research note on Thursday, May 21st. Benchmark reiterated a "buy" rating and set a $335.00 target price on shares of NVIDIA in a report on Thursday. Finally, Daiwa Securities Group raised their target price on shares of NVIDIA from $215.00 to $255.00 and gave the company an "outperform" rating in a research report on Friday, May 22nd. Two research analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and four have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $322.61.

Key Stories Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Record results exceeded expectations: Fiscal Q2 revenue reached $96.2 billion, up 106% year over year, while Data Center revenue rose 117% to $89.0 billion. Non-GAAP EPS was $2.22 versus the $2.09 consensus, and gross margin remained 75%. NVIDIA Announces Financial Results for Second Quarter Fiscal 2027
• Positive Sentiment: Guidance reinforced the AI growth story: NVIDIA forecast approximately $108 billion in fiscal Q3 revenue and indicated that fiscal 2028 revenue could grow about 70%, well above prior Wall Street expectations. Management said demand is exceeding available supply across memory, packaging, power and computing capacity. Nvidia rises after signaling longer AI spending runway
• Positive Sentiment: Customer commitments and product expansion support visibility: AWS plans to add two million NVIDIA GPUs, while the Vera Rubin platform is entering full production. The company also announced financing partnerships intended to mobilize more than $500 billion for AI infrastructure. NVIDIA quarterly results
• Positive Sentiment: Analysts raised their targets: JPMorgan lifted its target to $320, RBC to $330, and other firms set targets as high as $345-$352, citing NVIDIA’s growth, margins and CUDA ecosystem. What Wall Street is saying about NVIDIA
• Neutral Sentiment: NVIDIA is reportedly pursuing a roughly $12.9 billion acquisition of open-source AI platform Hugging Face, which could broaden its software ecosystem but remains unconfirmed and may carry integration and valuation risks. Nvidia agrees to buy Hugging Face, report says
• Negative Sentiment: Investors are monitoring profitability and execution risks: Fiscal Q3 gross-margin guidance of 74% is below the latest quarter, reflecting higher memory and infrastructure costs. NVIDIA also excludes China Data Center compute revenue from its outlook. NVIDIA earnings call puts supply limits at center of outlook
• Negative Sentiment: The company paused some revenue-sharing and financing arrangements with AI cloud firms, raising questions about customer funding, circular financing concerns and the sustainability of AI returns. Nvidia pauses revenue-sharing deals

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.

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