NVIDIA Corporation $NVDA Shares Newly Acquired by Algebris UK Ltd.

Key Points

• Algebris UK Ltd. acquired 11,098 NVIDIA shares worth approximately $2.2 million during the second quarter. Institutional investors and hedge funds collectively own 65.27% of NVIDIA’s stock.
• NVIDIA reported quarterly revenue of $96.22 billion, up 105.9% year over year, and EPS of $2.22, exceeding analyst expectations. The company also authorized a $150 billion share buyback, equivalent to up to 2.8% of its outstanding shares.
• Wall Street remains broadly bullish, with an average price target of $320.71 versus a recent opening price of $233.95. However, investors continue to monitor valuation, export controls, AI infrastructure financing concerns and competition from internally designed chips.

Algebris UK Ltd. purchased a new position in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) during the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 11,098 shares of the computer hardware maker's stock, valued at approximately $2,214,000.

Several other institutional investors and hedge funds also recently made changes to their positions in the company. Lifetime Wealth Management P.C. bought a new stake in shares of NVIDIA during the 4th quarter valued at about $26,000. Longview Financial Advisors Inc. bought a new stake in NVIDIA in the first quarter worth approximately $27,000. Langley Wealth Management LLC acquired a new position in NVIDIA in the second quarter valued at approximately $34,000. Phillip James Consulting Co. acquired a new position in NVIDIA in the first quarter valued at approximately $40,000. Finally, Frankly Finances LLC bought a new position in shares of NVIDIA during the 2nd quarter worth approximately $60,000. Institutional investors and hedge funds own 65.27% of the company's stock.

Key NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Morgan Stanley named NVIDIA its top semiconductor pick, maintaining an Overweight rating and setting a $300 price target. The firm believes NVIDIA’s software ecosystem, scale and positioning across AI infrastructure trends give it a durable competitive moat. Morgan Stanley names NVIDIA a top pick
• Positive Sentiment: NVIDIA’s recently announced $150 billion buyback authorization lifts total remaining repurchase capacity to approximately $235 billion. Investors view the plan as a sign of management confidence and a potential source of per-share earnings support. NVIDIA buyback analysis
• Positive Sentiment: Analysts continue to raise expectations for hyperscaler spending, with Barclays estimating NVIDIA could generate $401 billion in hyperscaler revenue in 2027. CoreWeave’s launch of the Vera Rubin platform and additional enterprise customers also supports demand for NVIDIA’s next-generation systems. Barclays hyperscaler revenue estimate
• Neutral Sentiment: The broader semiconductor and technology complex is attracting buying interest as AI investment remains a major market leadership theme. However, NVIDIA’s valuation and substantial market concentration leave the stock sensitive to interest rates, economic data and shifts in institutional positioning.
• Negative Sentiment: Investors are monitoring reports that Amazon may move roughly $8 billion of NVIDIA chips off its balance sheet through leasing or financing structures. While this could improve customer flexibility, it adds scrutiny around AI infrastructure financing and so-called circular transactions. Amazon NVIDIA chip balance-sheet report
• Negative Sentiment: Export-control concerns remain a headline risk after prosecutors alleged a California man helped smuggle approximately $300 million of NVIDIA chips to China. Separately, Michael Burry warned that GPU depreciation could undermine the economics of the AI infrastructure boom, while Alphabet’s growing use of internally designed chips represents a longer-term competitive threat. NVIDIA chip smuggling prosecution

NVIDIA Price Performance

NVDA stock opened at $233.95 on Monday. NVIDIA Corporation has a twelve month low of $164.27 and a twelve month high of $237.88. The company has a quick ratio of 3.85, a current ratio of 4.59 and a debt-to-equity ratio of 0.14. The stock's 50 day moving average is $218.74 and its 200-day moving average is $207.65. The firm has a market capitalization of $5.64 trillion, a PE ratio of 29.58, a P/E/G ratio of 1.81 and a beta of 2.22.

NVIDIA (NASDAQ:NVDA - Get Free Report) last announced its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share (EPS) 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 business 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 company posted $1.05 earnings per share. NVIDIA's revenue was up 105.9% compared to the same quarter last year. Sell-side analysts expect that NVIDIA Corporation will post 9.25 EPS for the current fiscal year.

NVIDIA announced that its Board of Directors has initiated a stock buyback program on Monday, September 28th that authorizes the company to buyback $150.00 billion in shares. This buyback authorization authorizes the computer hardware maker to buy up to 2.8% of its stock through open market purchases. Stock buyback programs are generally an indication that the company's leadership believes its stock is undervalued.

NVIDIA Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Thursday, September 10th were issued a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 0.4%. The ex-dividend date of this dividend was Thursday, September 10th. NVIDIA's payout ratio is currently 12.64%.

Insider Transactions at NVIDIA

In related news, CFO Colette Kress sold 34,918 shares of the firm's stock in a transaction dated Thursday, September 17th. The shares were sold at an average price of $219.05, for a total transaction of $7,648,787.90. Following the transaction, the chief financial officer directly 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 transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Timothy S. Teter sold 30,460 shares of NVIDIA stock in a transaction dated Monday, September 21st. The stock was 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 in the company, valued at approximately $598,810,648. This represents a 1.12% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 1,766,118 shares of company stock worth $399,450,353 in the last quarter. 3.94% of the stock is currently owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the stock. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating on shares of NVIDIA in a research report on Monday, August 31st. Piper Sandler started coverage on shares of NVIDIA in a research note on Wednesday, September 9th. They set an "overweight" rating and a $300.00 target price on the stock. Sanford C. Bernstein restated a "buy" rating on shares of NVIDIA in a report on Monday, September 21st. JPMorgan Chase & Co. lifted their price target on shares of NVIDIA from $280.00 to $320.00 and gave the company an "overweight" rating in a research note on Thursday, August 27th. Finally, KeyCorp reiterated an "overweight" rating and set a $330.00 price objective on shares of NVIDIA in a report on Monday, August 24th. Four equities research analysts have rated the stock with a Strong Buy rating, fifty have given a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of "Buy" and an average price target of $320.71.

NVIDIA Company Profile

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processing units (GPUs), central processing units (CPUs), networking products and related software. Its technologies are used in artificial intelligence, data centers, scientific and technical computing, gaming, professional visualization, automotive systems and robotics.

The company's products include GeForce GPUs and gaming software, data center computing platforms, networking solutions, and enterprise software for AI development and deployment.

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