Financial Designs Corp Buys New Stake in NVIDIA Corporation $NVDA

Key Points

• Financial Designs Corp initiated a new position in NVIDIA during the first quarter, buying 4,535 shares valued at about $791,000. The stake now represents roughly 0.4% of the firm’s holdings and NVIDIA is its 19th-largest position.
• NVIDIA continues to attract strong institutional and analyst support, with several firms increasing holdings and analysts mostly maintaining Buy or better ratings. MarketBeat reports a consensus price target of $305.67, well above the stock’s recent $200 opening price.
• Despite solid fundamentals and upbeat earnings, the stock faces some near-term pressure from AI spending concerns and company-specific headline risk, including a lawsuit from Jamendo over AI training. Even so, NVIDIA recently beat earnings expectations and authorized an $80 billion share buyback.

Financial Designs Corp purchased a new stake in NVIDIA Corporation (NASDAQ:NVDA - Free Report) during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 4,535 shares of the computer hardware maker's stock, valued at approximately $791,000. NVIDIA makes up about 0.4% of Financial Designs Corp's holdings, making the stock its 19th largest position.

Other institutional investors also recently bought and sold shares of the company. Diversified Enterprises LLC lifted its holdings in shares of NVIDIA by 44.2% in the 4th quarter. Diversified Enterprises LLC now owns 127,604 shares of the computer hardware maker's stock valued at $23,798,000 after purchasing an additional 39,129 shares during the last quarter. ASR Vermogensbeheer N.V. grew its stake in NVIDIA by 1.8% during the 4th quarter. ASR Vermogensbeheer N.V. now owns 3,169,377 shares of the computer hardware maker's stock worth $591,086,000 after buying an additional 54,877 shares during the last quarter. PMG Family Office LLC purchased a new position in NVIDIA during the 3rd quarter worth approximately $2,150,000. Storen Legacy Partners LLC acquired a new position in NVIDIA during the fourth quarter worth approximately $1,350,000. Finally, Weaver Capital Management LLC increased its position in NVIDIA by 5.5% during the fourth quarter. Weaver Capital Management LLC now owns 85,216 shares of the computer hardware maker's stock worth $15,893,000 after buying an additional 4,439 shares during the period. 65.27% of the stock is owned by hedge funds and other institutional investors.

NVIDIA News Roundup

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA continues to secure new AI-related partnerships and product momentum, including the launch of its BioNeMo Agent Toolkit for life sciences and additional collaborations around digital twins, robotics, and energy infrastructure. Nvidia launches BioNeMo agent toolkit for AI-driven life sciences research
• Positive Sentiment: Analysts and several articles continue to frame NVIDIA as a long-term winner from AI infrastructure buildout, with some bullish commentary pointing to strong earnings growth, major data-center demand, and attractive valuation relative to its growth. Nvidia: The $1 Trillion Trade Hiding In Plain Sight
• Neutral Sentiment: The company’s latest earnings remain a positive backdrop: NVIDIA beat expectations on both EPS and revenue, with revenue up sharply year over year, reinforcing that fundamentals are still strong despite the stock’s weakness.
• Negative Sentiment: AI spending concerns are weighing on the whole chip complex, with reports that SK Hynix is slowing HBM expansion and traders worrying about the sustainability of debt-funded AI capex. That has hit NVIDIA alongside peers like AMD, Intel, Micron, and SanDisk. Lam Research, Qualcomm, and Western Digital Stocks Trade Down, What You Need To Know
• Negative Sentiment: There is also some company-specific headline risk from a Reuters report that NVIDIA was sued by music company Jamendo over AI training, adding to near-term uncertainty. Nvidia sued by music company Jamendo over AI training

Insider Transactions at NVIDIA

In other NVIDIA news, Director Stephen C. Neal sold 15,500 shares of NVIDIA 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 owned 116,135 shares of the company's stock, valued at approximately $25,053,803.55. The trade was a 11.77% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Mark A. Stevens sold 885,000 shares of the business's stock in a transaction that occurred 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 transaction, the director owned 5,207,271 shares in the company, valued at $1,094,412,146.07. The trade was a 14.53% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 1,901,125 shares of company stock worth $410,583,015 over the last ninety days. 3.94% of the stock is currently owned by company insiders.

Analyst Ratings Changes

Several equities research analysts have recently weighed in on NVDA shares. BNP Paribas Exane increased their price objective on NVIDIA from $270.00 to $285.00 and gave the company an "outperform" rating in a report on Thursday, May 21st. Melius Research set a $400.00 target price on shares of NVIDIA in a report on Thursday, May 21st. Bank of America reiterated a "buy" rating and issued a $350.00 price target (up from $320.00) on shares of NVIDIA in a research report on Thursday, May 21st. Sanford C. Bernstein reiterated a "buy" rating on shares of NVIDIA in a research note on Monday, June 8th. Finally, Wall Street Zen raised shares of NVIDIA from a "buy" rating to a "strong-buy" rating in a research report on Saturday, May 23rd. Three research 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 MarketBeat.com, the company currently has an average rating of "Buy" and a consensus target price of $305.67.

NVIDIA Price Performance

NVIDIA stock opened at $200.00 on Wednesday. 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 has a 50 day simple moving average of $210.62 and a 200-day simple moving average of $192.80. NVIDIA Corporation has a 12 month low of $145.50 and a 12 month high of $236.54. The stock has a market capitalization of $4.84 trillion, a PE ratio of 30.63, a price-to-earnings-growth ratio of 0.47 and a beta of 2.22.

NVIDIA (NASDAQ:NVDA - Get Free Report) last announced its quarterly earnings data 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. The company had revenue of $81.61 billion for the quarter, compared to analysts' expectations of $78.42 billion. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. NVIDIA's revenue was up 85.2% compared to the same quarter last year. During the same period in the previous year, the company posted $0.81 EPS. Equities analysts predict that NVIDIA Corporation will post 8.65 earnings per share for the current year.

NVIDIA declared that its Board of Directors has authorized a share buyback program on Wednesday, May 20th that allows the company to buyback $80.00 billion in outstanding shares. This buyback authorization allows the computer hardware maker to buy up to 1.5% of its shares through open market purchases. Shares buyback programs are typically a sign that the company's board of directors believes its stock is undervalued.

NVIDIA Increases Dividend

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

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.

Want to see what other hedge funds are holding NVDA? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for NVIDIA Corporation (NASDAQ:NVDA - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.