NVIDIA Corporation $NVDA Holdings Reduced by Counterweight Ventures LLC

Key Points

• Counterweight Ventures LLC cut its NVIDIA stake by 8% in the first quarter, selling 3,570 shares and leaving it with 41,071 shares worth about $7.16 million.
• Despite that trim, NVIDIA remains a major institutional favorite: hedge funds and other institutions own about 65.27% of the stock, and several large investors increased positions during the period.
• The article highlights continued bullish fundamentals, including strong quarterly earnings, a new $80 billion buyback authorization, and a dividend increase to $0.25 per share, even as some reports note risks from chip competition and possible product delays.

Counterweight Ventures LLC reduced its stake in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 8.0% during the 1st quarter, according to its most recent filing with the SEC. The firm owned 41,071 shares of the computer hardware maker's stock after selling 3,570 shares during the period. NVIDIA makes up approximately 4.0% of Counterweight Ventures LLC's portfolio, making the stock its 4th biggest holding. Counterweight Ventures LLC's holdings in NVIDIA were worth $7,163,000 as of its most recent filing with the SEC.

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

Key NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Analysts and commentators said NVDA’s lower valuation and dominant position in AI spending could make recent weakness a buying opportunity, with Bank of America and others highlighting strong long-term upside.
• Positive Sentiment: Reuters reported that Nvidia supplier King Yuan Electronics plans to invest up to $1.4 billion in a U.S. facility, reinforcing the scale of the AI hardware supply chain and ongoing buildout around NVIDIA. Article Title
• Positive Sentiment: NVIDIA also announced a partnership with Fervo to launch an EGS-Twin geothermal platform, adding another AI-related ecosystem collaboration that investors may view as supportive of future growth. Article Title
• Positive Sentiment: Coverage around Nvidia’s strong Q1 results and the company’s upbeat revenue guidance near $91 billion for the next quarter continues to underline that AI demand is still running hot.
• Neutral Sentiment: Media and trading activity around NVDA remains elevated, including options-flow commentary, “most watched” stock chatter, and repeated articles on its AI leadership, which can keep the shares volatile but do not change fundamentals on their own.
• Negative Sentiment: Some reports noted pressure from customers and competitors building in-house AI chips, and there was also discussion of a possible delay to NVIDIA’s next-gen Kyber rack-scale architecture, both of which could raise investor concerns about future margins and timing.

NVIDIA Price Performance

NASDAQ NVDA opened at $210.96 on Monday. The business has a fifty day moving average price of $209.48 and a 200 day moving average price of $194.49. 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 company has a market cap of $5.11 trillion, a P/E ratio of 32.31, a P/E/G ratio of 0.46 and a beta of 2.21. NVIDIA Corporation has a one year low of $162.02 and a one year high of $236.54.

NVIDIA (NASDAQ:NVDA - Get Free Report) last announced its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, topping 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 company had revenue of $81.61 billion for the quarter, compared to analysts' expectations of $78.42 billion. During the same quarter in the previous year, the company posted $0.81 EPS. The firm's quarterly revenue was up 85.2% on a year-over-year basis. Research analysts anticipate that NVIDIA Corporation will post 8.8 EPS for the current fiscal year.

NVIDIA Increases Dividend

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

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

Wall Street Analysts Forecast Growth

NVDA has been the subject of several analyst reports. President Capital boosted their target price on shares of NVIDIA from $280.00 to $295.00 and gave the company a "buy" rating in a research note on Thursday, May 21st. Wall Street Zen lowered shares of NVIDIA from a "strong-buy" rating to a "buy" rating in a research report on Saturday, July 4th. Itau BBA Securities cut their price objective on shares of NVIDIA from $256.00 to $218.00 in a report on Wednesday, June 24th. Citic Securities upped their price objective on shares of NVIDIA from $242.00 to $315.00 and gave the stock a "buy" rating in a research report on Friday, May 22nd. Finally, Wells Fargo & Company restated an "overweight" rating and set a $315.00 target price (up from $265.00) on shares of NVIDIA in a research report on Tuesday, May 12th. Three investment 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, the company currently has a consensus rating of "Buy" and an average target price of $303.84.

Insider Transactions at NVIDIA

In other news, Director John Dabiri sold 625 shares of the business's stock in a transaction that occurred on Wednesday, May 27th. The stock was sold at an average price of $214.00, for a total transaction of $133,750.00. Following the transaction, the director directly owned 14,163 shares in the company, valued at $3,030,882. The trade was a 4.23% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark A. Stevens sold 885,000 shares of the company's stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $210.17, for a total value of $186,000,450.00. Following the completion of the sale, the director owned 5,207,271 shares of the company's stock, valued at $1,094,412,146.07. This trade represents a 14.53% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 1,901,125 shares of company stock worth $410,583,015 in the last ninety days. Insiders own 3.94% of the company's stock.

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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