NVIDIA Corporation $NVDA Shares Bought by Allstate Corp

Key Points

• Allstate Corp more than doubled its NVIDIA stake in the fourth quarter, buying an additional 963,211 shares and bringing its total holding to 1.85 million shares worth about $344.9 million. NVIDIA now ranks as Allstate’s third-largest position.
• NVIDIA’s latest earnings beat expectations, with quarterly EPS of $1.87 versus $1.76 expected and revenue of $81.62 billion, up 85.2% from a year earlier. Analysts now expect the company to post 8.61 EPS for the current year.
• The company also announced a major $80 billion share buyback and increased its quarterly dividend to $0.25 per share from $0.01, signaling confidence in its financial strength and cash generation.

Allstate Corp boosted its position in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 108.7% during the fourth quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor owned 1,849,418 shares of the computer hardware maker's stock after purchasing an additional 963,211 shares during the quarter. NVIDIA makes up 4.7% of Allstate Corp's portfolio, making the stock its 3rd biggest holding. Allstate Corp's holdings in NVIDIA were worth $344,916,000 at the end of the most recent quarter.

Other large investors have also recently bought and sold shares of the company. Norges Bank acquired a new position in NVIDIA in the second quarter valued at $51,386,863,000. Capital Research Global Investors raised its position in shares of NVIDIA by 16.1% in the 3rd quarter. Capital Research Global Investors now owns 165,377,852 shares of the computer hardware maker's stock worth $30,855,564,000 after buying an additional 22,896,705 shares during the period. Laurel Wealth Advisors LLC lifted its stake in shares of NVIDIA by 15,496.1% in the 2nd quarter. Laurel Wealth Advisors LLC now owns 21,865,525 shares of the computer hardware maker's stock valued at $3,454,534,000 after purchasing an additional 21,725,326 shares in the last quarter. Danske Bank A S acquired a new position in NVIDIA during the third quarter valued at approximately $3,180,313,000. Finally, PFA Pension Forsikringsaktieselskab purchased a new stake in NVIDIA during the fourth quarter worth approximately $2,635,969,000. Institutional investors and hedge funds own 65.27% of the company's stock.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on NVDA shares. Weiss Ratings restated a "buy (b)" rating on shares of NVIDIA in a report on Friday, April 10th. Piper Sandler reissued an "overweight" rating on shares of NVIDIA in a research report on Thursday, February 26th. HSBC reissued a "buy" rating and set a $325.00 target price (up from $295.00) on shares of NVIDIA in a research report on Tuesday, May 19th. Wolfe Research reaffirmed an "outperform" rating and set a $275.00 price target on shares of NVIDIA in a report on Thursday, May 21st. Finally, Truist Financial lifted their price target on shares of NVIDIA from $287.00 to $307.00 and gave the stock a "buy" rating in a research note on Thursday, May 21st. Three research 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. According to data from MarketBeat.com, the stock has an average rating of "Buy" and a consensus target price of $305.67.

NVIDIA Stock Up 1.7%

NASDAQ:NVDA opened at $208.64 on Tuesday. The firm has a market capitalization of $5.05 trillion, a PE ratio of 31.95, a price-to-earnings-growth ratio of 0.46 and a beta of 2.22. The stock has a 50 day moving average of $204.12 and a 200-day moving average of $190.77. NVIDIA Corporation has a 52 week low of $140.85 and a 52 week high of $236.54. The company has a current ratio of 3.44, a quick ratio of 2.85 and a debt-to-equity ratio of 0.04.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.76 by $0.11. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The business had revenue of $81.62 billion during the quarter, compared to analyst estimates of $78.42 billion. During the same quarter in the previous year, the firm posted $0.81 EPS. The business's revenue for the quarter was up 85.2% compared to the same quarter last year. Analysts predict that NVIDIA Corporation will post 8.61 EPS for the current year.

NVIDIA Increases Dividend

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

NVIDIA announced that its Board of Directors has approved a stock buyback program 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 programs are usually an indication that the company's board of directors believes its shares are undervalued.

Insiders Place Their Bets

In related news, Director Mark A. Stevens sold 500,000 shares of the firm's stock in a transaction that occurred on Thursday, June 4th. The stock was sold at an average price of $219.83, for a total value of $109,915,000.00. Following the sale, the director directly owned 6,399,771 shares in the company, valued at $1,406,861,658.93. This trade represents a 7.25% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Aarti S. Shah sold 19,000 shares of NVIDIA stock in a transaction on Thursday, March 19th. The shares were sold at an average price of $176.71, for a total value of $3,357,490.00. Following the sale, the director directly owned 36,007 shares in the company, valued at $6,362,796.97. The trade was a 34.54% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 1,622,461 shares of company stock worth $332,629,083. 3.94% of the stock is owned by company insiders.

Key Headlines Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA announced multiyear partnerships in South Korea with SK Hynix, SK Telecom, and NAVER to build gigawatt-scale AI clouds and AI factories using NVIDIA’s DSX platform, which expands its footprint in sovereign AI, data centers, and next-generation memory supply. NVIDIA and SK hynix Announce Multiyear Technology Partnership to Advance Memory for AI Factories
• Positive Sentiment: CEO Jensen Huang said the recent chip selloff should make investors “very happy,” reinforcing the view that AI demand remains strong and that the pullback may be a buying opportunity for semiconductor stocks. Nvidia Stock Rises as CEO Says Chip Selloff Should Make Investors 'Very Happy'
• Positive Sentiment: Reports that Apple is partnering with Google and NVIDIA for a more advanced AI model, plus continued interest from investors and analysts, add to the bullish narrative that NVIDIA remains central to the AI buildout. Apple partnering with Google and Nvidia for most advanced AI model
• Neutral Sentiment: Some coverage highlighted concerns that NVIDIA’s AI PC push is still based on unproven consumer demand beyond niche users, suggesting this initiative may take time to meaningfully contribute to growth. Nvidia's AI PC push banks on unproven demand beyond niche users
• Negative Sentiment: There was also attention on NVIDIA CEO Jensen Huang declining a Senate invitation to testify on AI and China export controls, keeping regulatory and geopolitical risks in view. Nvidia CEO Jensen Huang declines Senate testimony on AI, China and exports

About NVIDIA

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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