DSM Capital Partners LLC Sells 316,001 Shares of NVIDIA Corporation $NVDA

Key Points

• DSM Capital Partners trimmed its NVIDIA stake by 5.7% in Q1, selling 316,001 shares but still holding 5.21 million shares worth about $908.3 million. NVIDIA remains its largest portfolio position, making up 16.1% of assets.
• Institutional ownership remains strong, with 65.27% of NVIDIA shares held by institutions and hedge funds, even as some investors reduced exposure and insider selling totaled 1.9 million shares over the last three months.
• NVIDIA continues to post strong fundamentals, including quarterly EPS of $1.87 versus $1.76 expected and revenue of $81.61 billion, while analysts maintain a Moderate Buy consensus with a $304.26 price target.

DSM Capital Partners LLC decreased its holdings in NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 5.7% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 5,208,018 shares of the computer hardware maker's stock after selling 316,001 shares during the quarter. NVIDIA makes up 16.1% of DSM Capital Partners LLC's investment portfolio, making the stock its biggest holding. DSM Capital Partners LLC's holdings in NVIDIA were worth $908,278,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also bought and sold shares of the stock. Sageworth Trust Co raised its position in NVIDIA by 21.6% during the 1st quarter. Sageworth Trust Co now owns 22,302 shares of the computer hardware maker's stock worth $3,889,000 after purchasing an additional 3,963 shares during the last quarter. Frank Rimerman Advisors LLC grew its position in shares of NVIDIA by 1.0% in the 1st quarter. Frank Rimerman Advisors LLC now owns 565,454 shares of the computer hardware maker's stock valued at $98,615,000 after buying an additional 5,570 shares during the last quarter. Stenger Family Office LLC grew its position in shares of NVIDIA by 10.8% in the 1st quarter. Stenger Family Office LLC now owns 154,848 shares of the computer hardware maker's stock valued at $27,005,000 after buying an additional 15,077 shares during the last quarter. Impact Investors Inc increased its stake in shares of NVIDIA by 3.9% in the first quarter. Impact Investors Inc now owns 16,175 shares of the computer hardware maker's stock valued at $2,821,000 after buying an additional 601 shares during the period. Finally, Richmond Investment Services LLC increased its stake in shares of NVIDIA by 6.1% in the first quarter. Richmond Investment Services LLC now owns 41,594 shares of the computer hardware maker's stock valued at $7,254,000 after buying an additional 2,400 shares during the period. 65.27% of the stock is currently owned by institutional investors and hedge funds.

Key NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA expanded its AI footprint in Japan with new partnerships across robotics, manufacturing, and public-sector infrastructure, including a national AI infrastructure initiative and the launch of Cosmos 3 Edge and Nemotron-based local AI projects. These moves reinforce NVDA’s role as the core platform for physical AI and could support long-term demand. Japan Government, Industrial Leaders and NVIDIA Launch the World's First National AI Infrastructure
• Positive Sentiment: Multiple analysts raised earnings estimates for NVIDIA, with KeyCorp and Erste Group boosting forecasts and maintaining bullish ratings/price targets. That suggests Wall Street still sees strong profit growth ahead.
• Positive Sentiment: TSMC reported strong AI-driven demand, which is a positive read-through for NVIDIA’s supply chain and ongoing chip demand. TSMC Just Announced Fantastic News for Nvidia Shareholders
• Neutral Sentiment: Apple briefly overtook NVIDIA as the world’s most valuable company, highlighting a rotation in mega-cap leadership and renewed investor doubts about how much AI upside is already priced into NVDA. Apple dethrones Nvidia as world's most valuable company, ending the chipmaker's long run at the top
• Neutral Sentiment: Several articles point to a broader semiconductor sell-off and “sell the news” behavior in AI and chip stocks, which appears to be pressuring NVDA along with peers rather than reflecting a company-specific setback. Why Nvidia stock is down around 2.5% on Thursday
• Negative Sentiment: Market commentary from Jim Cramer and other bearish notes on semiconductors suggest some investors are rotating out of chip stocks, adding near-term pressure to NVDA sentiment. Jim Cramer Says Semiconductor Stocks Are “Going Down.” Buy These 2 Dividend Stocks Instead

Insider Transactions at NVIDIA

In other NVIDIA news, Director John Dabiri sold 625 shares of NVIDIA stock in a transaction dated Wednesday, May 27th. The stock was sold at an average price of $214.00, for a total transaction of $133,750.00. Following the completion of the transaction, the director owned 14,163 shares in the company, valued at approximately $3,030,882. The trade was a 4.23% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Stephen C. Neal sold 15,500 shares of the business's stock in a transaction that occurred on Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total value of $3,343,815.00. Following the sale, the director directly owned 116,135 shares of the company's stock, valued at $25,053,803.55. This represents a 11.77% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 1,901,125 shares of company stock valued at $410,583,015 over the last three months. Corporate insiders own 3.94% of the company's stock.

Wall Street Analyst Weigh In

Several brokerages recently commented on NVDA. Raymond James Financial reiterated a "strong-buy" rating and issued a $330.00 target price on shares of NVIDIA in a report on Thursday, May 21st. Melius Research set a $400.00 price target on shares of NVIDIA in a report on Thursday, May 21st. President Capital boosted their price target on shares of NVIDIA from $280.00 to $295.00 and gave the stock a "buy" rating in a research report on Thursday, May 21st. New Street Research reduced their price objective on shares of NVIDIA from $343.00 to $340.00 in a research note on Thursday, May 21st. Finally, Rosenblatt Securities reiterated a "buy" rating and set a $325.00 price objective on shares of NVIDIA in a research report on Thursday, May 21st. Two analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $304.26.

NVIDIA Price Performance

Shares of NVDA opened at $202.81 on Friday. The business's fifty day moving average is $209.63 and its 200 day moving average is $195.10. NVIDIA Corporation has a 12-month low of $164.07 and a 12-month high of $236.54. The company has a quick ratio of 2.85, a current ratio of 3.44 and a debt-to-equity ratio of 0.04. The stock has a market cap of $4.91 trillion, a P/E ratio of 31.06, a P/E/G ratio of 0.45 and a beta of 2.21.

NVIDIA (NASDAQ:NVDA - Get Free Report) last announced its quarterly earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, beating analysts' consensus estimates of $1.76 by $0.11. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The business had revenue of $81.61 billion during the quarter, compared to analyst estimates of $78.42 billion. During the same quarter in the previous year, the business posted $0.81 EPS. NVIDIA's quarterly revenue was up 85.2% on a year-over-year basis. Sell-side analysts anticipate that NVIDIA Corporation will post 8.79 earnings per share for the current fiscal year.

NVIDIA announced that its Board of Directors has initiated a stock buyback program on Wednesday, May 20th that authorizes the company to buyback $80.00 billion in shares. This buyback authorization authorizes the computer hardware maker to reacquire up to 1.5% of its stock through open market purchases. Stock buyback programs are usually a sign that the company's management believes its stock is undervalued.

NVIDIA Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were given a dividend of $0.25 per share. The ex-dividend date of this dividend was Thursday, June 4th. This is a boost from NVIDIA's previous quarterly dividend of $0.01. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. NVIDIA's payout ratio is presently 15.31%.

NVIDIA 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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