NVIDIA Corporation $NVDA Shares Sold by Wealth Group Ltd

Key Points

• Wealth Group Ltd. reduced its NVIDIA position by 34.9% in the third quarter, selling 4,096 shares and retaining 7,642 shares valued at approximately $1.79 million. Institutional investors collectively own 65.27% of the company.
• Wall Street remains broadly bullish, with 49 analysts rating NVIDIA a Buy and five assigning Strong Buy ratings. The consensus price target is $321.47, above the reported share price of $215.38.
• NVIDIA reported quarterly revenue growth of 105.9% and beat earnings expectations, while also authorizing a $150 billion share-buyback program. Key risks include potential antitrust scrutiny of its Hugging Face acquisition, rising production costs, and increasing competition from Google’s AI chips.

Wealth Group Ltd trimmed its position in NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 34.9% in the 3rd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm owned 7,642 shares of the computer hardware maker's stock after selling 4,096 shares during the quarter. Wealth Group Ltd's holdings in NVIDIA were worth $1,788,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Montgomery Financial Services LLC purchased a new stake in NVIDIA in the second quarter worth about $28,000. Longview Financial Advisors Inc. purchased a new position in NVIDIA during the 1st quarter valued at about $27,000. Phillip James Consulting Co. purchased a new position in NVIDIA during the 1st quarter valued at about $40,000. Bard Associates Inc. increased its position in NVIDIA by 8,866.7% during the 2nd quarter. Bard Associates Inc. now owns 269 shares of the computer hardware maker's stock valued at $54,000 after purchasing an additional 266 shares during the period. Finally, Frankly Finances LLC bought a new stake in shares of NVIDIA in the 2nd quarter valued at about $60,000. Institutional investors own 65.27% of the company's stock.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on NVDA. DZ Bank reaffirmed a "buy" rating on shares of NVIDIA in a research report on Wednesday, August 26th. BMO Capital Markets set a $340.00 price objective on shares of NVIDIA and gave the company an "outperform" rating in a report on Thursday, August 20th. Melius Research set a $420.00 target price on NVIDIA in a report on Thursday, August 27th. Oppenheimer set a $315.00 target price on NVIDIA and gave the company an "outperform" rating in a research report on Thursday, August 27th. Finally, Cantor Fitzgerald reaffirmed an "overweight" rating and set a $350.00 target price on shares of NVIDIA in a research report on Thursday, October 1st. Five investment analysts have rated the stock with a Strong Buy rating, forty-nine have issued a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat.com, the company has an average rating of "Buy" and a consensus target price of $321.47.

NVIDIA Trading Down 1.2%

NASDAQ NVDA opened at $215.38 on Thursday. NVIDIA Corporation has a 52 week low of $164.27 and a 52 week high of $243.37. The company has a 50 day moving average price of $222.06 and a 200 day moving average price of $204.00. 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 firm has a market cap of $5.19 trillion, a PE ratio of 27.23, a price-to-earnings-growth ratio of 1.62 and a beta of 2.22.

NVIDIA (NASDAQ:NVDA - Get Free Report) last announced its earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share for the quarter, beating the consensus estimate of $2.09 by $0.13. NVIDIA had a net margin of 63.66% and a return on equity of 96.04%. The company had revenue of $96.22 billion during the quarter, compared to the consensus estimate of $92.27 billion. During the same period last year, the firm earned $1.05 earnings per share. NVIDIA's revenue was up 105.9% compared to the same quarter last year. As a group, sell-side analysts forecast that NVIDIA Corporation will post 9.30 EPS for the current fiscal year.

NVIDIA Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th were issued a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. The ex-dividend date was Thursday, September 10th. NVIDIA's dividend payout ratio is currently 12.64%.

NVIDIA declared that its board has initiated a stock buyback plan on Monday, September 28th that authorizes the company to buy back $150 billion in outstanding shares. This buyback authorization authorizes the computer hardware maker to buy up to 2.8% of its shares through open market purchases. Stock buyback plans are typically an indication that the company's management believes its shares are undervalued.

Key Stories Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA will invest $3 billion in Meta as the companies expand their partnership on Meta’s Muse AI models. Meta also plans to deploy more NVIDIA Vera Rubin systems, Vera CPUs, Spectrum-X networking, and BlueField-4 technology, reinforcing NVIDIA’s position as a core supplier for hyperscale AI infrastructure. Nvidia, Meta partner on Muse agent as Nvidia invests $3 billion
• Positive Sentiment: NVIDIA released Nemotron 3.5 Transcribe, an open-weight speech model supporting up to 40 languages, broadening its software and AI-model ecosystem beyond hardware. Nvidia releases new open transcription model
• Positive Sentiment: Investor commentary remains bullish on upcoming results, with expectations for triple-digit earnings growth and the possibility that NVIDIA could raise its existing growth outlook as supply constraints ease and major customers increase AI infrastructure spending. What to expect from NVIDIA’s next quarterly earnings report
• Neutral Sentiment: NVIDIA scheduled its third-quarter financial-results conference call for November 17. The event may become the next major catalyst, particularly for guidance on demand, supply, margins, and customer capital spending. NVIDIA sets conference call for third-quarter financial results
• Negative Sentiment: The U.S. Department of Justice is examining NVIDIA’s proposed $12.93 billion acquisition of Hugging Face, creating potential antitrust and deal-completion risk. US DOJ examines Nvidia’s Hugging Face acquisition
• Negative Sentiment: Google’s TPUs are gaining distribution through Oracle Cloud, while OpenAI is reportedly buying Google’s AI chips. Greater adoption of custom accelerators could pressure NVIDIA’s market share, pricing power, and dependence on hyperscaler spending. Google’s AI chip business is getting harder for Nvidia to ignore
• Negative Sentiment: Reported price increases from TSMC of 10%–20% for advanced packaging and 3%–6% for leading-edge wafers could raise NVIDIA’s production costs, although strong demand may allow some costs to be passed through. Taiwan Semiconductor flexes pricing power on AI’s frontline

Insider Activity

In other news, EVP Timothy Teter sold 30,460 shares of the firm's stock in a transaction on Monday, September 21st. The stock was sold at an average price of $222.80, for a total value of $6,786,488.00. Following the completion of the sale, the executive vice president owned 2,687,660 shares of the company's stock, valued at $598,810,648. This trade represents a 1.12% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark Stevens sold 622,239 shares of the business's stock in a transaction on Friday, September 4th. The stock was sold at an average price of $231.62, for a total value of $144,122,997.18. Following the transaction, the director owned 2,336,531 shares in the company, valued at approximately $541,187,310.22. This trade represents a 21.03% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 1,766,118 shares of company stock worth $399,450,353. Insiders own 3.94% of the company's stock.

About NVIDIA

NVIDIA Corporation NASDAQ: NVDA is a technology company that designs graphics processing units (GPUs), accelerated computing platforms, networking products and related software. Its technologies support artificial intelligence, machine learning, scientific computing, data analytics, professional visualization and computer graphics.

The company's products include GeForce GPUs for gaming and personal computing, data center GPUs and systems for AI and high-performance computing, and networking solutions used to connect and manage large-scale computing infrastructure.

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