Highland Investment Advisors LLC Makes New $583,000 Investment in NVIDIA Corporation $NVDA

Key Points

• Highland Investment Advisors initiated a $583,000 NVIDIA position by purchasing 2,913 shares in the second quarter. Institutional investors and hedge funds now own 65.27% of NVIDIA’s outstanding stock.
• Analyst sentiment remains strongly positive: five analysts rate NVIDIA a Strong Buy, 50 rate it a Buy, and one assigns a Hold rating, with an average price target of $321.47.
• NVIDIA exceeded quarterly expectations, reporting $2.22 in earnings per share and $96.22 billion in revenue, up 105.9% year over year. The company also authorized a $150 billion stock-repurchase plan and declared a quarterly dividend of $0.25 per share.

Highland Investment Advisors LLC purchased a new stake in NVIDIA Corporation (NASDAQ:NVDA - Free Report) in the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund purchased 2,913 shares of the computer hardware maker's stock, valued at approximately $583,000.

Several other large investors also recently bought and sold shares of the stock. Boyd Wealth Management LLC raised its position in shares of NVIDIA by 273.4% in the 2nd quarter. Boyd Wealth Management LLC now owns 9,145 shares of the computer hardware maker's stock worth $1,830,000 after buying an additional 6,696 shares during the period. Ally Financial Inc. grew its position in NVIDIA by 10.3% during the second quarter. Ally Financial Inc. now owns 172,000 shares of the computer hardware maker's stock valued at $34,415,000 after acquiring an additional 16,000 shares during the period. Altshuler Shaham Ltd grew its position in NVIDIA by 6,451.9% during the first quarter. Altshuler Shaham Ltd now owns 637,236 shares of the computer hardware maker's stock valued at $111,134,000 after acquiring an additional 627,510 shares during the period. Baker Tilly Wealth Management LLC grew its position in NVIDIA by 7.4% during the second quarter. Baker Tilly Wealth Management LLC now owns 71,898 shares of the computer hardware maker's stock valued at $14,386,000 after acquiring an additional 4,958 shares during the period. Finally, Vaughan Nelson Investment Management L.P. increased its stake in NVIDIA by 11.6% during the first quarter. Vaughan Nelson Investment Management L.P. now owns 1,754,078 shares of the computer hardware maker's stock worth $305,911,000 after acquiring an additional 182,345 shares during the last quarter. Institutional investors and hedge funds own 65.27% of the company's stock.

Analysts Set New Price Targets

Several equities research analysts have commented on the company. TD Cowen restated a "buy" rating on shares of NVIDIA in a research note on Tuesday, August 18th. Raymond James Financial set a $515.00 price objective on NVIDIA and gave the company a "strong-buy" rating in a research note on Thursday, August 27th. Morgan Stanley set a $230.00 price objective on NVIDIA in a research note on Friday, October 2nd. Melius Research set a $420.00 target price on NVIDIA in a report on Thursday, August 27th. Finally, Sanford C. Bernstein reissued a "buy" rating on shares of NVIDIA in a research report on Monday, September 21st. Five research analysts have rated the stock with a Strong Buy rating, fifty have given a Buy rating and one has assigned a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Buy" and an average price target of $321.47.

NVIDIA News Roundup

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Reportedly, ByteDance, Alibaba and Tencent have placed more than $35 billion in NVIDIA chip orders. The agreement could reopen a significant Chinese market, although the arrangement reportedly includes the U.S. government receiving 15% of Chinese sales. NVIDIA China chip orders
• Positive Sentiment: OpenAI is reportedly raising approximately $30 billion, while NVIDIA has agreed to guarantee up to $105 billion of obligations tied to an Ohio data-center campus OpenAI will lease. The deal could support substantial future demand for NVIDIA systems, but also increases NVIDIA’s exposure to customer financing. OpenAI fundraising and NVIDIA
• Positive Sentiment: Anthropic is reportedly discussing an expansion that could take its Nscale commitment to roughly $90 billion, potentially benefiting NVIDIA as a leading supplier of AI infrastructure. Anthropic Nscale expansion
• Positive Sentiment: NVIDIA announced German partnerships, investments in AI startups and a broader European AI initiative approaching $10 billion, strengthening its position in sovereign and industrial AI. NVIDIA German AI investments
• Positive Sentiment: A record 104-qubit fault-tolerant quantum simulation on Europe’s JUPITER supercomputer demonstrated NVIDIA’s CUDA-Q, cuQuantum and accelerated-computing capabilities, expanding its longer-term technology opportunity beyond AI. NVIDIA quantum simulation
• Neutral Sentiment: Amazon is reportedly receiving billions of dollars of NVIDIA GB300 systems, but some racks are being stored because data centers lack sufficient power. This confirms demand while highlighting deployment bottlenecks. Amazon NVIDIA GPU systems
• Negative Sentiment: Google’s open-source TorchTPU and Amazon’s TorchNeuron initiatives are designed to make competing AI chips easier to use, threatening NVIDIA’s CUDA software moat and long-term pricing power. Google and Amazon challenge NVIDIA CUDA
• Negative Sentiment: Investors remain concerned that heavily indebted neocloud customers, including CoreWeave, may struggle with higher borrowing costs. NVIDIA’s guarantees and investment relationships increase fears that AI infrastructure spending could involve circular or financially fragile demand. Why NVIDIA needs CoreWeave
• Negative Sentiment: Broad semiconductor selling, fading momentum in the AI trade and hedge-fund technology reductions are weighing on NVDA’s near-term performance despite continued strong chip demand. Chip stocks decline

NVIDIA Stock Down 0.3%

Shares of NASDAQ NVDA opened at $216.47 on Wednesday. NVIDIA Corporation has a 12-month low of $164.27 and a 12-month high of $243.37. The company has a market cap of $5.22 trillion, a P/E ratio of 27.37, a P/E/G ratio of 1.67 and a beta of 2.22. The company has a current ratio of 4.59, a quick ratio of 3.85 and a debt-to-equity ratio of 0.14. The stock has a fifty day moving average price of $223.17 and a 200 day moving average price of $212.01.

NVIDIA (NASDAQ:NVDA - Get Free Report) last issued its earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share for the quarter, topping the consensus estimate of $2.09 by $0.13. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%. The company had revenue of $96.22 billion during the quarter, compared to the consensus estimate of $92.27 billion. During the same quarter in the prior year, the business earned $1.05 earnings per share. The company's revenue was up 105.9% compared to the same quarter last year. Research analysts anticipate that NVIDIA Corporation will post 9.30 EPS for the current fiscal year.

NVIDIA Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Investors of record on Thursday, September 10th were given a dividend of $0.25 per share. The ex-dividend date of this dividend was Thursday, September 10th. This represents a $1.00 annualized dividend and a yield of 0.5%. NVIDIA's payout ratio is 12.64%.

NVIDIA declared that its Board of Directors has authorized a stock repurchase plan on Monday, September 28th that permits the company to repurchase $150.00 billion in shares. This repurchase authorization permits the computer hardware maker to purchase up to 2.8% of its shares through open market purchases. Stock repurchase plans are often a sign that the company's board believes its shares are undervalued.

Insider Buying and Selling

In other NVIDIA news, CFO Colette Kress sold 34,918 shares of the stock in a transaction that occurred on Thursday, September 17th. The shares were sold at an average price of $219.05, for a total value of $7,648,787.90. Following the completion of the sale, the chief financial officer owned 765,103 shares of the company's stock, valued at $167,595,812.15. This trade represents a 4.36% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Timothy S. Teter sold 30,460 shares of the stock in a transaction that occurred on Monday, September 21st. The shares were sold at an average price of $222.80, for a total transaction of $6,786,488.00. Following the completion of the sale, the executive vice president directly owned 2,687,660 shares of the company's stock, valued at $598,810,648. This trade represents a 1.12% 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 ninety days, insiders have sold 1,766,118 shares of company stock valued at $399,450,353. Corporate insiders own 3.94% of the company's stock.

NVIDIA Company Profile

NVIDIA Corporation NASDAQ: NVDA is a technology company that designs graphics processing units (GPUs), accelerated computing platforms, networking products and related software. Its technologies support artificial intelligence, machine learning, scientific computing, data analytics, professional visualization and computer graphics.

The company's products include GeForce GPUs for gaming and personal computing, data center GPUs and systems for AI and high-performance computing, and networking solutions used to connect and manage large-scale computing infrastructure.

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