NVIDIA Corporation $NVDA Shares Sold by Jennison Associates LLC

Key Points

• Jennison Associates LLC cut its NVIDIA stake by 11.5% in the fourth quarter, selling more than 10.1 million shares. Even after the sale, NVIDIA remained its largest holding, representing 8.7% of the portfolio.
• NVIDIA reported strong quarterly results, with earnings of $1.87 per share and revenue of $81.62 billion, both above analyst expectations. Revenue rose 85.2% from a year earlier.
• The company’s board approved an $80 billion stock buyback and boosted the quarterly dividend from $0.01 to $0.25 per share, signaling confidence in future cash flow.

Jennison Associates LLC decreased its stake in NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 11.5% in the 4th quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 78,051,805 shares of the computer hardware maker's stock after selling 10,158,422 shares during the period. NVIDIA makes up 8.7% of Jennison Associates LLC's investment portfolio, making the stock its largest holding. Jennison Associates LLC owned 0.32% of NVIDIA worth $14,556,662,000 as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds and other institutional investors have also recently made changes to their positions in the stock. Joule Financial LLC lifted its stake in shares of NVIDIA by 2.2% in the third quarter. Joule Financial LLC now owns 2,308 shares of the computer hardware maker's stock valued at $431,000 after purchasing an additional 50 shares during the period. Presidio Capital Management LLC raised its position in NVIDIA by 0.4% during the fourth quarter. Presidio Capital Management LLC now owns 15,137 shares of the computer hardware maker's stock worth $2,823,000 after acquiring an additional 53 shares during the last quarter. Vision Financial Markets LLC raised its position in NVIDIA by 1.2% during the third quarter. Vision Financial Markets LLC now owns 4,640 shares of the computer hardware maker's stock worth $866,000 after acquiring an additional 53 shares during the last quarter. IMG Wealth Management Inc. raised its position in NVIDIA by 1.4% during the third quarter. IMG Wealth Management Inc. now owns 3,820 shares of the computer hardware maker's stock worth $713,000 after acquiring an additional 54 shares during the last quarter. Finally, Cyr Financial Inc. raised its position in NVIDIA by 0.7% during the third quarter. Cyr Financial Inc. now owns 7,737 shares of the computer hardware maker's stock worth $1,444,000 after acquiring an additional 54 shares during the last quarter. Institutional investors and hedge funds own 65.27% of the company's stock.

Insiders Place Their Bets

In other news, CFO Colette Kress sold 42,650 shares of the business's stock in a transaction that occurred on Friday, March 20th. The shares were sold at an average price of $174.89, for a total value of $7,459,058.50. Following the completion of the transaction, the chief financial officer owned 881,387 shares of the company's stock, valued at $154,145,772.43. The trade was a 4.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Mark A. Stevens sold 221,682 shares of the business's stock in a transaction that occurred on Friday, March 20th. The shares were sold at an average price of $173.68, for a total transaction of $38,501,729.76. Following the completion of the transaction, the director directly owned 7,399,771 shares of the company's stock, valued at approximately $1,285,192,227.28. This represents a 2.91% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 906,336 shares of company stock valued at $162,802,518. 4.17% of the stock is currently owned by insiders.

NVIDIA Stock Performance

NASDAQ:NVDA opened at $215.33 on Friday. The firm has a 50 day simple moving average of $196.10 and a 200-day simple moving average of $189.06. The company has a debt-to-equity ratio of 0.04, a current ratio of 3.44 and a quick ratio of 3.24. The firm has a market cap of $5.21 trillion, a PE ratio of 32.98, a P/E/G ratio of 0.67 and a beta of 2.25. NVIDIA Corporation has a 1-year low of $129.16 and a 1-year high of $236.54.

NVIDIA (NASDAQ:NVDA - Get Free Report) last posted its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share for the quarter, beating analysts' consensus estimates of $1.76 by $0.11. The business had revenue of $81.62 billion during the quarter, compared to analyst estimates of $78.42 billion. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The company's revenue was up 85.2% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.81 earnings per share. On average, equities analysts expect that NVIDIA Corporation will post 7.98 EPS for the current year.

NVIDIA declared that its Board of Directors has approved a stock repurchase program on Wednesday, May 20th that authorizes the company to buyback $80.00 billion in shares. This buyback authorization authorizes the computer hardware maker to buy up to 1.5% of its shares through open market purchases. Shares buyback programs are usually a sign that the company's board believes its stock is undervalued.

NVIDIA Increases Dividend

The company 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 $0.25 dividend. This is a boost from NVIDIA's previous quarterly dividend of $0.01. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend is Thursday, June 4th. NVIDIA's dividend payout ratio (DPR) is presently 15.31%.

Key NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA delivered a record quarter with massive revenue growth, strong guidance, and record data center sales. The Tech Download: What you might have missed in Nvidia's earnings — a $200 billion opportunity and edge computing
• Positive Sentiment: The company raised its dividend sharply and approved an $80 billion buyback, signaling confidence in future cash generation. Nvidia Just Raised Its Dividend By 2,400% -- and That Wasn't Even the Biggest News From Its Earnings Report
• Positive Sentiment: Wall Street remains broadly bullish, with multiple analysts raising price targets after earnings. Nvidia stock continues to struggle after earnings, but analysts remain firmly bullish
• Neutral Sentiment: Despite the strong report, the market seems to be digesting the results rather than rewarding them, suggesting investors may think the bar was already very high. Nvidia Stock Misses Out on Friday's Rally. Here's How Much Traders See It Moving Next Week
• Negative Sentiment: Some investors remain worried about valuation, competition, and the possibility that AI spending growth could slow from current extreme levels. Why Nvidia Stock Is Barely Moving After Earnings Crushed Expectations

Analysts Set New Price Targets

NVDA has been the subject of a number of research reports. Morgan Stanley set a $288.00 target price on shares of NVIDIA and gave the stock an "overweight" rating in a research report on Thursday. Royal Bank Of Canada set a $280.00 target price on shares of NVIDIA in a research report on Thursday. Zacks Research cut shares of NVIDIA from a "strong-buy" rating to a "hold" rating in a research report on Thursday. DA Davidson lifted their target price on shares of NVIDIA from $250.00 to $300.00 and gave the stock a "buy" rating in a research report on Monday, May 18th. Finally, BNP Paribas Exane lifted their target price on shares of NVIDIA from $270.00 to $285.00 and gave the stock an "outperform" rating in a research report on Thursday. Three research analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and three have issued 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 $303.27.

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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