Clearwater Capital Advisors LLC Lowers Stake in NVIDIA Corporation $NVDA

Key Points

• Clearwater Capital Advisors cut its NVIDIA stake by 16.1% in the fourth quarter, selling 2,863 shares and ending with 14,900 shares valued at about $2.78 million.
• NVIDIA continues to enjoy strong Wall Street support, with multiple analysts reiterating bullish ratings and a consensus target price of $305.67, well above its recent trading level near $205.10.
• The company reported blowout quarterly results, including EPS of $1.87 and revenue of $81.62 billion, and also boosted shareholder returns with a new $0.25 quarterly dividend and an $80 billion stock buyback authorization.

Clearwater Capital Advisors LLC lowered its stake in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 16.1% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 14,900 shares of the computer hardware maker's stock after selling 2,863 shares during the period. Clearwater Capital Advisors LLC's holdings in NVIDIA were worth $2,779,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds also recently bought and sold shares of the company. Longfellow Investment Management Co. LLC lifted its holdings in NVIDIA by 47.9% during the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker's stock worth $33,000 after buying an additional 67 shares during the period. Spurstone Advisory Services LLC purchased a new stake in NVIDIA during the second quarter worth $40,000. Syntax Research Inc. lifted its holdings in NVIDIA by 62.5% during the fourth quarter. Syntax Research Inc. now owns 260 shares of the computer hardware maker's stock worth $49,000 after buying an additional 100 shares during the period. Sellwood Investment Partners LLC purchased a new stake in NVIDIA during the third quarter worth $50,000. Finally, Networth Advisors LLC purchased a new stake in NVIDIA during the fourth quarter worth $51,000. Hedge funds and other institutional investors own 65.27% of the company's stock.

Trending Headlines about NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA continues to win bullish analyst coverage, with firms like China Renaissance and KeyBanc reiterating optimistic views and high price targets, reinforcing expectations for further upside. China Renaissance rating update
• Positive Sentiment: NVIDIA’s ecosystem is expanding, including a major AI partnership with Taiwan Semiconductor and new collaborations across software, memory, and connectivity, which supports future demand for its AI platforms. Taiwan Semiconductor Manufacturing Signs Major AI Deal With Nvidia
• Positive Sentiment: Jensen Huang’s trip to South Korea has highlighted new growth avenues, including robotics and deeper supplier relationships, adding to NVIDIA’s long-term growth narrative. Nvidia CEO sees robotics as next major sector in South Korea
• Positive Sentiment: Recent commentary says NVIDIA’s Blackwell ramp, CUDA software moat, and AI inference exposure keep the growth story strong, helping investors view pullbacks as buyable. Analyst Picks NVIDIA Over Every Other AI Chip Stock Right Now
• Positive Sentiment: The company’s new PC chip push and RTX Spark product could open another growth lane beyond data centers, even if the market is still digesting the near-term implications. Nvidia's PC Chip Reveal Obscures a Bigger Catalyst for the Stock
• Neutral Sentiment: NVIDIA recently reported strong quarterly results, beat revenue and EPS estimates, and authorized an $80 billion buyback plus a much larger dividend, but those positives are already well known and may be partly priced in. NVIDIA insider trades report
• Negative Sentiment: Broad semiconductor weakness and softer risk appetite after strong jobs data have pressured AI chip stocks, with investors questioning whether the sector’s valuation has gotten ahead of fundamentals. Nvidia stock crashes another 3% today: why Computex failed to spark a rally
• Negative Sentiment: Senator Elizabeth Warren’s invitation for Jensen Huang to testify on China chip sales adds regulatory and export-control overhang around NVIDIA’s business in China. Warren invites Nvidia CEO Jensen Huang to Senate hearing on China AI chip sales
• Negative Sentiment: Director Mark Stevens’ large share sale is also weighing on sentiment, since insider selling can make investors cautious even when the underlying business remains strong. NVIDIA insider trading filing

Analyst Upgrades and Downgrades

NVDA has been the subject of a number of analyst reports. William Blair restated an "outperform" rating on shares of NVIDIA in a report on Tuesday, June 2nd. Evercore reaffirmed an "outperform" rating and set a $413.00 price target (up from $352.00) on shares of NVIDIA in a research report on Thursday, May 21st. Oppenheimer reaffirmed an "outperform" rating and set a $265.00 price target on shares of NVIDIA in a research report on Thursday, February 26th. KeyCorp set a $310.00 price target on NVIDIA and gave the stock an "overweight" rating in a research report on Thursday, May 21st. Finally, Susquehanna reaffirmed a "positive" rating and set a $275.00 price target (up from $250.00) on shares of NVIDIA in a research report on Tuesday, May 12th. Three equities research analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Buy" and a consensus target price of $305.67.

NVIDIA Price Performance

NASDAQ NVDA opened at $205.10 on Monday. 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 stock's fifty day moving average price is $203.37 and its 200 day moving average price is $190.58. NVIDIA Corporation has a 1 year low of $140.85 and a 1 year high of $236.54. The company has a market cap of $4.96 trillion, a price-to-earnings ratio of 31.41, a PEG ratio of 0.46 and a beta of 2.22.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.76 by $0.11. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The firm had revenue of $81.62 billion for the quarter, compared to the consensus estimate of $78.42 billion. During the same period in the prior year, the firm earned $0.81 EPS. The firm's revenue was up 85.2% on a year-over-year basis. As a group, equities research analysts forecast that NVIDIA Corporation will post 8.61 earnings per share for the current year.

NVIDIA Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 26th. Investors of record on Thursday, June 4th will be given a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. The ex-dividend date of this dividend is Thursday, June 4th. This is a positive change from NVIDIA's previous quarterly dividend of $0.01. NVIDIA's payout ratio is currently 15.31%.

NVIDIA announced that its board has approved a stock repurchase plan on Wednesday, May 20th that allows the company to repurchase $80.00 billion in outstanding shares. This repurchase authorization allows the computer hardware maker to repurchase up to 1.5% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company's board believes its shares are undervalued.

Insider Transactions at NVIDIA

In related news, Director Aarti S. Shah sold 19,000 shares of the company's stock in a transaction on Thursday, March 19th. The stock was sold at an average price of $176.71, for a total value of $3,357,490.00. Following the transaction, the director directly owned 36,007 shares of the company's stock, valued at $6,362,796.97. This represents a 34.54% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Ajay K. Puri sold 300,000 shares of the company's stock in a transaction on Wednesday, March 18th. The shares were sold at an average price of $182.25, for a total value of $54,675,000.00. Following the completion of the transaction, the executive vice president directly owned 3,018,547 shares in the company, valued at approximately $550,130,190.75. The trade was a 9.04% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 1,922,461 shares of company stock worth $387,385,083 over the last 90 days. Insiders own 3.94% of the company's stock.

About NVIDIA

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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