Connective Portfolio Management LLC Sells 5,000 Shares of NVIDIA Corporation $NVDA

Key Points

• Connective Portfolio Management cut its NVIDIA stake by 30.3% in the first quarter, selling 5,000 shares and leaving it with 11,475 shares worth about $2.0 million.
• NVIDIA reported strong quarterly results, beating EPS and revenue estimates with $1.87 per share on $81.61 billion in revenue, while sales jumped 85.2% year over year.
• The company’s board approved an $80 billion stock buyback and boosted its quarterly dividend to $0.25 from $0.01, signaling confidence in the business and shareholder returns.

Connective Portfolio Management LLC lessened its holdings in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 30.3% in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 11,475 shares of the computer hardware maker's stock after selling 5,000 shares during the period. NVIDIA accounts for approximately 5.4% of Connective Portfolio Management LLC's investment portfolio, making the stock its 7th biggest position. Connective Portfolio Management LLC's holdings in NVIDIA were worth $2,001,000 as of its most recent SEC filing.

Other hedge funds also recently bought and sold shares of the company. State Street Corp increased its holdings in shares of NVIDIA by 1.2% in the fourth quarter. State Street Corp now owns 991,480,489 shares of the computer hardware maker's stock valued at $184,911,111,000 after purchasing an additional 11,451,386 shares during the last quarter. Geode Capital Management LLC boosted its stake in NVIDIA by 0.6% during the fourth quarter. Geode Capital Management LLC now owns 588,803,093 shares of the computer hardware maker's stock worth $109,446,217,000 after buying an additional 3,383,441 shares during the last quarter. Norges Bank purchased a new stake in NVIDIA in the 4th quarter valued at $62,244,133,000. Bank of America Corp DE grew its holdings in NVIDIA by 1.5% in the 4th quarter. Bank of America Corp DE now owns 187,181,484 shares of the computer hardware maker's stock valued at $34,909,347,000 after buying an additional 2,849,678 shares in the last quarter. Finally, Legal & General Group Plc increased its stake in shares of NVIDIA by 1.5% in the 3rd quarter. Legal & General Group Plc now owns 181,203,035 shares of the computer hardware maker's stock worth $33,808,862,000 after acquiring an additional 2,609,560 shares during the last quarter. Institutional investors and hedge funds own 65.27% of the company's stock.

NVIDIA Price Performance

NVIDIA stock opened at $198.32 on Thursday. The company's 50 day simple moving average is $210.80 and its 200-day simple moving average is $192.91. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.85 and a current ratio of 3.44. NVIDIA Corporation has a 1 year low of $149.26 and a 1 year high of $236.54. The company has a market capitalization of $4.80 trillion, a price-to-earnings ratio of 30.37, a price-to-earnings-growth ratio of 0.45 and a beta of 2.22.

NVIDIA (NASDAQ:NVDA - Get Free Report) last posted its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share for the quarter, beating the consensus estimate of $1.76 by $0.11. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The firm had revenue of $81.61 billion during the quarter, compared to the consensus estimate of $78.42 billion. During the same quarter last year, the firm earned $0.81 EPS. The firm's revenue for the quarter was up 85.2% on a year-over-year basis. As a group, equities research analysts expect that NVIDIA Corporation will post 8.69 earnings per share for the current year.

NVIDIA declared that its Board of Directors has approved a stock buyback plan on Wednesday, May 20th that allows the company to repurchase $80.00 billion in shares. This repurchase authorization allows the computer hardware maker to reacquire up to 1.5% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company's leadership believes its stock is undervalued.

NVIDIA Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, June 26th. Investors of record on Thursday, June 4th will be issued a $0.25 dividend. The ex-dividend date is Thursday, June 4th. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. This is a boost from NVIDIA's previous quarterly dividend of $0.01. NVIDIA's dividend payout ratio (DPR) is presently 15.31%.

Insider Buying and Selling

In other news, Director Mark A. Stevens sold 885,000 shares of the stock in a transaction dated Thursday, June 18th. The shares were sold at an average price of $210.17, for a total transaction of $186,000,450.00. Following the sale, the director owned 5,207,271 shares of the company's stock, valued at approximately $1,094,412,146.07. This represents a 14.53% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director John Dabiri sold 625 shares of the firm's stock in a transaction that occurred on Wednesday, May 27th. The shares were sold at an average price of $214.00, for a total transaction of $133,750.00. Following the completion of the transaction, the director directly owned 14,163 shares of the company's stock, valued at approximately $3,030,882. The trade was a 4.23% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 1,901,125 shares of company stock valued at $410,583,015. Corporate insiders own 3.94% of the company's stock.

Wall Street Analysts Forecast Growth

NVDA has been the topic of several analyst reports. New Street Research reduced their price target on NVIDIA from $343.00 to $340.00 in a report on Thursday, May 21st. Argus raised their price objective on shares of NVIDIA from $220.00 to $270.00 and gave the stock a "buy" rating in a research report on Thursday, May 21st. Daiwa Securities Group lifted their target price on shares of NVIDIA from $215.00 to $255.00 and gave the stock an "outperform" rating in a research note on Friday, May 22nd. BNP Paribas Exane boosted their target price on shares of NVIDIA from $270.00 to $285.00 and gave the company an "outperform" rating in a report on Thursday, May 21st. Finally, Seaport Research Partners increased their price target on shares of NVIDIA from $140.00 to $180.00 and gave the company a "sell" rating in a research note on Thursday, May 21st. Three analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, the company has an average rating of "Buy" and an average target price of $305.67.

Trending Headlines about NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA continues to expand its AI ecosystem, including new BioNeMo and agentic AI tools for life sciences, which supports the long-term growth story. Nvidia launches BioNeMo agent toolkit for AI-driven life sciences research
• Positive Sentiment: Wall Street commentary remains constructive, with several analysts still calling NVDA a must-own AI leader despite the recent tech sell-off. NVIDIA (NVDA) Remains a Must-Own for Bernstein Despite Tech Sell-Off
• Neutral Sentiment: The latest earnings report was strong, with NVIDIA beating EPS and revenue estimates and posting very rapid year-over-year growth, providing a solid fundamental backdrop.
• Negative Sentiment: AI spending concerns and a memory-chip selloff are weighing on the entire semiconductor group, pressuring NVIDIA as investors question the pace of future demand. Lam Research, Qualcomm, and Western Digital Stocks Trade Down, What You Need To Know
• Negative Sentiment: Reuters reported that NVIDIA was sued by music company Jamendo over AI training, adding legal uncertainty and headline risk. Nvidia sued by music company Jamendo over AI training

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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