McLaughlin Asset Management Inc. Invests $5.93 Million in NVIDIA Corporation $NVDA

Key Points

• McLaughlin Asset Management opened a new position in NVIDIA, buying 31,787 shares valued at about $5.93 million. The stake now makes up roughly 5.3% of its portfolio and is its second-largest holding.
• Institutional interest in NVIDIA remains strong, with hedge funds and other investors continuing to add shares; overall, about 65.27% of the stock is owned by institutional investors.
• Analysts remain broadly bullish on NVIDIA, with a consensus “Buy” rating and an average price target of $305.67. The company also reported strong quarterly results, beating earnings and revenue estimates, while approving an $80 billion share repurchase plan and raising its quarterly dividend.

McLaughlin Asset Management Inc. purchased a new stake in NVIDIA Corporation (NASDAQ:NVDA - Free Report) in the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor purchased 31,787 shares of the computer hardware maker's stock, valued at approximately $5,928,000. NVIDIA makes up approximately 5.3% of McLaughlin Asset Management Inc.'s investment portfolio, making the stock its 2nd biggest holding.

Other hedge funds also recently added to or reduced their stakes in the company. Longfellow Investment Management Co. LLC boosted its stake in NVIDIA by 47.9% in the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker's stock valued at $33,000 after acquiring an additional 67 shares in the last quarter. Spurstone Advisory Services LLC purchased a new stake in shares of NVIDIA in the 2nd quarter valued at about $40,000. Inspire Investing LLC purchased a new stake in shares of NVIDIA in the 4th quarter valued at about $44,000. AlphaCentric Advisors LLC acquired a new stake in shares of NVIDIA in the 4th quarter valued at about $45,000. Finally, Syntax Research Inc. boosted its position in shares of NVIDIA by 62.5% in the 4th quarter. Syntax Research Inc. now owns 260 shares of the computer hardware maker's stock valued at $49,000 after purchasing an additional 100 shares during the period. 65.27% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research firms have commented on NVDA. Wedbush lifted their price target on NVIDIA from $300.00 to $330.00 and gave the stock an "outperform" rating in a research report on Thursday, May 21st. Fundamental Research set a $218.00 target price on shares of NVIDIA in a research report on Thursday, February 26th. Robert W. Baird set a $500.00 target price on shares of NVIDIA and gave the company an "outperform" rating in a report on Thursday, May 21st. Royal Bank Of Canada set a $280.00 price target on shares of NVIDIA in a research report on Thursday, May 21st. Finally, DA Davidson reissued a "buy" rating and set a $300.00 price objective on shares of NVIDIA in a research report on Monday, June 1st. Three 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 company. Based on data from MarketBeat, NVIDIA has a consensus rating of "Buy" and an average target price of $305.67.

Insiders Place Their Bets

In other NVIDIA news, 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 transaction of $3,343,815.00. Following the transaction, the director owned 116,135 shares in the company, valued at approximately $25,053,803.55. The trade was a 11.77% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director John Dabiri sold 625 shares of the stock in a transaction that occurred on Wednesday, May 27th. The stock was sold at an average price of $214.00, for a total value of $133,750.00. Following the transaction, the director directly owned 14,163 shares of the company's stock, valued at approximately $3,030,882. This trade represents a 4.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 1,016,125 shares of company stock worth $224,582,565. Company insiders own 3.94% of the company's stock.

Key NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Jensen Huang’s latest comments were interpreted as a sign that demand for NVIDIA’s AI hardware remains strong, reinforcing the view that the company still has room to grow from the AI buildout. 13 Words From Jensen Huang That Spell Good News for Nvidia Shareholders
• Positive Sentiment: Multiple reports highlighted NVIDIA’s expanding AI ecosystem, including XR AI/public beta, physical AI, and new partnerships, which supports the case that NVIDIA is moving beyond data centers into additional growth markets. How NVIDIA (NVDA) Is Extending Its AI Infrastructure Reach Into XR and Physical AI
• Positive Sentiment: NVIDIA was said to have taken the No. 1 spot in data-center Ethernet switching by revenue in Q1, underscoring that its networking business is becoming a more meaningful part of the AI stack. Nvidia takes No. 1 spot in data center ethernet switching by revenue in Q1: IDC
• Positive Sentiment: Analysts and market commentary continued to point to NVIDIA as a leading AI beneficiary versus weaker chip names, with several pieces framing it as a core alternative in the ongoing semiconductor rally. Analyst Warns Intel Valuation ‘Doesn't Make Sense.' Suggests NVIDIA, AMD, Micron, and Broadcom as Alternatives.
• Neutral Sentiment: Several articles noted that AI spending is broadening to suppliers, cloud providers, and custom-chip rivals, suggesting NVIDIA’s dominance is being challenged but not yet displaced. Google Is Using Nvidia's Playbook to Build a Rival AI Chip Business
• Negative Sentiment: There were also warning signs for investors, including commentary that NVIDIA has slipped since its last earnings report and concerns that heavy AI infrastructure spending, debt financing, and competition from Amazon and Google could pressure long-term margins or growth rates. Nvidia (NVDA) Down 4% Since Last Earnings Report: Can It Rebound?

NVIDIA Price Performance

Shares of NVIDIA stock opened at $210.69 on Friday. NVIDIA Corporation has a one year low of $142.03 and a one year high of $236.54. The company has a market cap of $5.10 trillion, a P/E ratio of 32.26, a PEG ratio of 0.47 and a beta of 2.22. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.85 and a current ratio of 3.44. The firm has a fifty day moving average of $209.90 and a two-hundred day moving average of $192.38.

NVIDIA (NASDAQ:NVDA - Get Free Report) last issued 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 business had revenue of $81.61 billion for the quarter, compared to the consensus estimate of $78.42 billion. During the same quarter in the previous year, the firm earned $0.81 earnings per share. The business's quarterly revenue was up 85.2% compared to the same quarter last year. On average, analysts forecast that NVIDIA Corporation will post 8.65 earnings per share for the current year.

NVIDIA Increases Dividend

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

NVIDIA announced that its board has approved a share repurchase 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 buy up to 1.5% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's board believes its shares are undervalued.

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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