NVIDIA Corporation $NVDA is Sterling Capital Management LLC's 2nd Largest Position

Key Points

• Sterling Capital Management trimmed its NVIDIA stake by 25.8% in the first quarter, selling 341,435 shares. Even after the reduction, NVIDIA remained its 2nd-largest holding, making up about 3.2% of the portfolio.
• NVIDIA’s latest earnings showed continued strength, with revenue of $81.61 billion and EPS of $1.87, both ahead of analyst expectations. Revenue rose 85.2% year over year, underscoring strong AI-driven demand.
• Despite some near-term pressure from a broader semiconductor selloff and valuation concerns, analysts still remain mostly bullish. The stock has a consensus Buy rating and a target price of $303.84.

Sterling Capital Management LLC cut its holdings in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 25.8% in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 982,472 shares of the computer hardware maker's stock after selling 341,435 shares during the period. NVIDIA comprises about 3.2% of Sterling Capital Management LLC's investment portfolio, making the stock its 2nd biggest holding. Sterling Capital Management LLC's holdings in NVIDIA were worth $171,343,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also modified their holdings of NVDA. Presidio Capital Management LLC increased its holdings in NVIDIA by 0.4% during the 4th quarter. Presidio Capital Management LLC now owns 15,137 shares of the computer hardware maker's stock worth $2,823,000 after purchasing an additional 53 shares during the last quarter. LMG Wealth Partners LLC boosted its stake in shares of NVIDIA by 0.7% during the 4th quarter. LMG Wealth Partners LLC now owns 7,649 shares of the computer hardware maker's stock valued at $1,427,000 after buying an additional 53 shares during the last quarter. Vision Financial Markets LLC boosted its stake in shares of NVIDIA by 1.2% during the 3rd quarter. Vision Financial Markets LLC now owns 4,640 shares of the computer hardware maker's stock valued at $866,000 after buying an additional 53 shares during the last quarter. Great Oak Capital Partners LLC grew its position in shares of NVIDIA by 3.8% during the fourth quarter. Great Oak Capital Partners LLC now owns 1,508 shares of the computer hardware maker's stock worth $285,000 after buying an additional 55 shares in the last quarter. Finally, JGP Global Gestao de Recursos Ltda. increased its stake in shares of NVIDIA by 2.3% in the fourth quarter. JGP Global Gestao de Recursos Ltda. now owns 2,402 shares of the computer hardware maker's stock worth $448,000 after buying an additional 55 shares during the last quarter. 65.27% of the stock is owned by hedge funds and other institutional investors.

NVIDIA News Summary

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA continues to draw bullish long-term calls, with multiple articles pointing to strong AI demand, deep ecosystem positioning, and forward growth potential despite the recent pullback. Nvidia: The Drawdown Is An Opportunity To Pounce
• Positive Sentiment: The company unveiled a revenue-sharing program that gives AI startups access to GPU compute in exchange for a share of future revenue, which could expand NVIDIA’s customer base and lock in longer-term demand for its infrastructure. Nvidia offers start-up customers chance to swap compute power for revenue share
• Positive Sentiment: Several pieces highlighted NVIDIA’s AI partnerships and infrastructure role, including collaborations around AI-RAN and sovereign AI, reinforcing its central position in the AI buildout. The Palantir-Nvidia Sovereign AI Deal Will Reshape Who Wins the AI Infrastructure Race
• Neutral Sentiment: Analysts and commentators remain split, with some saying the AI trade is becoming more selective and profitability will matter more than momentum, which supports stock-picking over broad enthusiasm for semis. Top Invesco Analyst: The AI Trade That “Lifted All Boats” Is Over
• Neutral Sentiment: There is also recurring debate about valuation and whether NVIDIA can regain momentum in the second half of 2026, suggesting investors are waiting for stronger evidence before bidding the stock higher again. Can Nvidia regain its momentum in the second half of 2026?
• Neutral Sentiment: Other articles focused on CEO Jensen Huang’s leather jacket auction and general market commentary, which are not likely to have a direct material impact on the stock. Nvidia CEO Jensen Huang's leather jacket heads to auction at Sotheby's
• Negative Sentiment: The near-term tone is weighed down by articles noting that NVIDIA shares have been declining and that AI chipmakers recently lost significant market value, reflecting profit-taking and a broader semiconductor selloff. Top AI chipmakers wipe $137 billion in a day; Here's why
• Negative Sentiment: Several pieces also note growing competition from custom chips and hyperscaler efforts, plus concerns that AI capacity will catch up to demand, which could pressure NVIDIA’s growth multiple over time. Nvidia Believes Artificial Intelligence (AI) Capex Will Reach $3 Trillion to $4 Trillion by 2030

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on the stock. New Street Research cut their price target on shares of NVIDIA from $343.00 to $340.00 in a report on Thursday, May 21st. Needham & Company LLC reissued a "buy" rating and issued a $270.00 target price on shares of NVIDIA in a research report on Tuesday, June 2nd. Citic Securities upped their target price on shares of NVIDIA from $242.00 to $315.00 and gave the company a "buy" rating in a research note on Friday, May 22nd. BTIG Research assumed coverage on shares of NVIDIA in a research report on Wednesday, April 15th. They set a "buy" rating on the stock. Finally, Zacks Research downgraded NVIDIA from a "strong-buy" rating to a "hold" rating in a research note on Thursday, May 21st. 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.com, the stock currently has a consensus rating of "Buy" and a consensus target price of $303.84.

NVIDIA Price Performance

NVDA stock opened at $194.83 on Friday. The firm has a market cap of $4.71 trillion, a price-to-earnings ratio of 29.84, a PEG ratio of 0.43 and a beta of 2.21. NVIDIA Corporation has a 1-year low of $157.34 and a 1-year high of $236.54. The firm has a fifty day moving average price of $210.22 and a two-hundred day moving average price of $193.51. The company has a debt-to-equity ratio of 0.04, a current ratio of 3.44 and a quick ratio of 2.85.

NVIDIA (NASDAQ:NVDA - Get Free Report) last posted its quarterly earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, topping 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 company had revenue of $81.61 billion for the quarter, compared to the consensus estimate of $78.42 billion. During the same period last year, the firm posted $0.81 EPS. The company's revenue for the quarter was up 85.2% on a year-over-year basis. Research analysts predict that NVIDIA Corporation will post 8.69 EPS for the current 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 issued a $0.25 dividend. This is an increase from NVIDIA's previous quarterly dividend of $0.01. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend was Thursday, June 4th. NVIDIA's dividend payout ratio is 15.31%.

NVIDIA declared that its Board of Directors has initiated a stock repurchase plan on Wednesday, May 20th that permits the company to buyback $80.00 billion in 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 usually an indication that the company's board believes its stock is undervalued.

Insider Buying and Selling at NVIDIA

In other news, 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 transaction of $133,750.00. Following the sale, the director directly owned 14,163 shares in the company, valued at approximately $3,030,882. This represents a 4.23% 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. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Stephen C. Neal sold 15,500 shares of the firm'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 completion of the sale, the director directly owned 116,135 shares in the company, valued at approximately $25,053,803.55. This trade represents a 11.77% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 1,901,125 shares of company stock worth $410,583,015 over the last ninety days. Company insiders own 3.94% of the company's stock.

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.

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