NVIDIA Corporation $NVDA Shares Sold by Tranquility Partners LLC

Key Points

• Tranquility Partners LLC reduced its NVIDIA stake by 14.2% in the fourth quarter, selling 6,552 shares and leaving it with 39,517 shares worth about $7.37 million.
• NVIDIA reported strong quarterly results, beating EPS and revenue estimates with $1.87 per share on $81.62 billion in sales, while revenue jumped 85.2% year over year.
• The company also boosted shareholder returns by raising its quarterly dividend to $0.25 and authorizing an $80 billion share repurchase program, signaling confidence in its outlook.

Tranquility Partners LLC cut its stake in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 14.2% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 39,517 shares of the computer hardware maker's stock after selling 6,552 shares during the period. NVIDIA makes up approximately 2.7% of Tranquility Partners LLC's investment portfolio, making the stock its 5th largest holding. Tranquility Partners LLC's holdings in NVIDIA were worth $7,370,000 as of its most recent SEC filing.

A number of other institutional investors have also made changes to their positions in the stock. State Street Corp grew its stake in shares of NVIDIA by 1.0% during the second quarter. State Street Corp now owns 978,208,862 shares of the computer hardware maker's stock worth $154,556,803,000 after purchasing an additional 9,554,857 shares during the period. Geode Capital Management LLC grew its stake in shares of NVIDIA by 1.5% during the second quarter. Geode Capital Management LLC now owns 579,213,497 shares of the computer hardware maker's stock worth $91,150,170,000 after purchasing an additional 8,521,936 shares during the period. Norges Bank acquired a new stake in shares of NVIDIA during the second quarter worth $51,386,863,000. Legal & General Group Plc grew its stake in shares of NVIDIA by 1.5% during the third quarter. Legal & General Group Plc now owns 181,203,035 shares of the computer hardware maker's stock worth $33,808,862,000 after purchasing an additional 2,609,560 shares during the period. Finally, Capital Research Global Investors grew its stake in shares of NVIDIA by 16.1% during the third quarter. Capital Research Global Investors now owns 165,377,852 shares of the computer hardware maker's stock worth $30,855,564,000 after purchasing an additional 22,896,705 shares during the period. 65.27% of the stock is owned by institutional investors and hedge funds.

NVIDIA Stock Up 0.8%

NVIDIA stock opened at $214.25 on Friday. The stock has a market capitalization of $5.18 trillion, a PE ratio of 32.81, a price-to-earnings-growth ratio of 0.51 and a beta of 2.25. NVIDIA Corporation has a twelve month low of $132.92 and a twelve month high of $236.54. The company has a quick ratio of 2.85, a current ratio of 3.44 and a debt-to-equity ratio of 0.04. The company has a 50 day moving average of $198.67 and a 200-day moving average of $189.55.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released its quarterly earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share for the quarter, beating the consensus estimate of $1.76 by $0.11. The company had revenue of $81.62 billion during the quarter, compared to analysts' expectations of $78.42 billion. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The business's quarterly revenue was up 85.2% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.81 earnings per share. On average, equities research analysts anticipate that NVIDIA Corporation will post 8.04 EPS for the current fiscal year.

NVIDIA Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, June 26th. Stockholders of record on Thursday, June 4th will be issued a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. This is a boost from NVIDIA's previous quarterly dividend of $0.01. The ex-dividend date is Thursday, June 4th. NVIDIA's dividend payout ratio is currently 0.61%.

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

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on NVDA shares. Royal Bank Of Canada set a $280.00 price objective on NVIDIA in a research note on Thursday, May 21st. HSBC reaffirmed a "buy" rating and set a $325.00 price objective (up from $295.00) on shares of NVIDIA in a research note on Tuesday, May 19th. CICC Research lifted their price objective on NVIDIA from $240.60 to $268.30 and gave the stock an "outperform" rating in a research note on Friday, May 22nd. Bank of America reaffirmed a "buy" rating and set a $350.00 price objective (up from $320.00) on shares of NVIDIA in a research note on Thursday, May 21st. Finally, Sanford C. Bernstein reaffirmed an "outperform" rating on shares of NVIDIA in a research note on Thursday, May 21st. Three equities research analysts have rated the stock with a Strong Buy rating, forty-seven have given a Buy rating and three have given a Hold rating to the company's stock. Based on data from MarketBeat, NVIDIA presently has a consensus rating of "Buy" and an average target price of $305.38.

More NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Wall Street analysts remain constructive after earnings, with Truist raising its price target to $307 and Tigress Financial lifting its target to $425, citing NVIDIA’s dominant position in AI hardware and strong growth outlook.
• Positive Sentiment: Management’s Taiwan expansion plan is reinforcing the long-term AI demand story. NVIDIA said it plans to spend about $150 billion a year in Taiwan and build a new headquarters there, underscoring confidence in the supply chain and future production capacity.
• Positive Sentiment: Recent commentary continues to frame NVIDIA as a key beneficiary of the AI infrastructure buildout, with articles pointing to ongoing shortages in memory, networking, and power as evidence that demand for NVIDIA’s Blackwell systems remains very strong.
• Neutral Sentiment: Several articles highlight Jensen Huang’s growing influence and visibility, including reports that he may join the advisory board of Tsinghua University and that he is now among the world’s richest people. These are notable but not direct stock catalysts.
• Neutral Sentiment: A number of pieces focus on broader AI ecosystem developments, including Groq’s fundraising, IREN’s Blackwell purchase, and other semiconductor names benefiting from the AI trade. These reinforce sector momentum but are mostly indirect for NVDA.
• Negative Sentiment: Some investors are worried NVIDIA’s valuation has become stretched and that the AI trade may be crowded, with bearish commentary warning that a lot of good news may already be priced in.
• Negative Sentiment: There are also geopolitical and regulatory concerns, including reports of possible NVIDIA chip smuggling to China via Japan, which could revive scrutiny around export controls and China exposure.

Insider Activity at NVIDIA

In other news, Director John Dabiri sold 3,004 shares of the company's stock in a transaction dated Friday, March 13th. The stock was sold at an average price of $184.90, for a total transaction of $555,439.60. Following the completion of the transaction, the director directly owned 14,788 shares of the company's stock, valued at $2,734,301.20. This represents a 16.88% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Mark A. Stevens sold 221,682 shares of the company's stock in a transaction dated Friday, March 20th. The stock was sold at an average price of $173.68, for a total value of $38,501,729.76. Following the transaction, the director directly owned 7,399,771 shares of the company's stock, valued at $1,285,192,227.28. This represents a 2.91% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 906,336 shares of company stock valued at $162,802,518 over the last ninety days. Company insiders own 3.94% of the company's stock.

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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