NVIDIA Corporation $NVDA Stake Cut by Jennison Associates LLC

Jennison Associates LLC trimmed its holdings in NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 5.2% in the first quarter, according to its most recent disclosure with the SEC. The fund owned 73,978,086 shares of the computer hardware maker's stock after selling 4,073,719 shares during the period. NVIDIA accounts for approximately 8.9% of Jennison Associates LLC's portfolio, making the stock its largest position. Jennison Associates LLC owned about 0.30% of NVIDIA worth $12,901,778,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently made changes to their positions in NVDA. Lifetime Wealth Management P.C. acquired a new position in shares of NVIDIA in the fourth quarter valued at approximately $26,000. Longview Financial Advisors Inc. acquired a new stake in shares of NVIDIA during the first quarter worth $27,000. Longfellow Investment Management Co. LLC increased its stake in NVIDIA by 47.9% in the 2nd quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker's stock valued at $33,000 after buying an additional 67 shares during the period. Spurstone Advisory Services LLC purchased a new position in NVIDIA during the 2nd quarter worth $40,000. Finally, Inspire Investing LLC acquired a new stake in shares of NVIDIA in the 4th quarter worth $44,000. Hedge funds and other institutional investors own 65.27% of the company's stock.

Analysts Set New Price Targets

A number of research analysts have recently issued reports on the stock. New Street Research dropped their price target on shares of NVIDIA from $343.00 to $340.00 in a research note on Thursday, May 21st. Jefferies Financial Group reiterated a "buy" rating and set a $300.00 target price (up from $275.00) on shares of NVIDIA in a research report on Thursday, May 21st. Wedbush increased their target price on NVIDIA from $300.00 to $330.00 and gave the stock an "outperform" rating in a research note on Thursday, May 21st. Truist Financial raised their price target on NVIDIA from $287.00 to $307.00 and gave the company a "buy" rating in a report on Thursday, May 21st. Finally, Royal Bank Of Canada set a $280.00 price target on NVIDIA in a research note on Thursday, May 21st. Three investment analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat.com, NVIDIA presently has a consensus rating of "Buy" and an average price target of $304.26.

NVIDIA Stock Performance

NVDA opened at $190.01 on Thursday. NVIDIA Corporation has a 1-year low of $164.07 and a 1-year high of $236.54. The stock has a market cap of $4.60 trillion, a P/E ratio of 29.10, a P/E/G ratio of 0.38 and a beta of 2.21. The stock's 50 day simple moving average is $206.20 and its 200 day simple moving average is $196.01. The company has a debt-to-equity ratio of 0.04, a current ratio of 3.44 and a quick ratio of 2.85.

NVIDIA (NASDAQ:NVDA - Get Free Report) last issued its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.76 by $0.11. The firm had revenue of $81.61 billion during the quarter, compared to analysts' expectations of $78.42 billion. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.NVIDIA's revenue was up 85.2% on a year-over-year basis. During the same period in the previous year, the firm posted $0.81 earnings per share. As a group, equities analysts anticipate that NVIDIA Corporation will post 8.79 EPS for the current fiscal year.

NVIDIA Increases Dividend

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

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

Key Stories Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Strong AI demand remains evident across NVIDIA’s ecosystem. Partner SK Hynix reported a more than sixfold increase in quarterly operating profit, driven by advanced-memory demand from AI data centers, while its relationship with NVIDIA and HBM supply commitments support continued demand for NVIDIA systems. SK Hynix posts sixfold rise in Q2 profit on AI chip demand
• Positive Sentiment: Analysts continue to see substantial upside, with 26 recent price targets carrying a median of $308.50. Erste Group also modestly raised its fiscal 2027 and fiscal 2028 earnings estimates, reinforcing the case that long-term AI growth remains intact.
• Positive Sentiment: NVIDIA will report fiscal second-quarter 2027 results on August 26. The scheduled release gives investors a clear near-term catalyst and an opportunity to evaluate demand, margins and the impact of new products. NVIDIA Sets Conference Call for Second-Quarter Financial Results
• Neutral Sentiment: Reports that NVIDIA may be backing major OpenAI and Texas data-center projects highlight potential for additional chip demand, but the proposed financing arrangements also increase NVIDIA’s exposure to customers’ capital needs and execution risks. Nvidia behind $50 billion lease on Texas data center
• Negative Sentiment: Investors are concerned that circular financing and credit risks could make AI infrastructure spending less durable. Warnings about NVIDIA’s proposed OpenAI backstop, losses at leveraged AI-cloud companies and rising borrowing costs have pressured the broader AI trade. NVIDIA’s OpenAI Backstop Puts AI Financing Risk in Focus
• Negative Sentiment: Geopolitical and competitive risks remain a major overhang. Reports of a Taiwan detention involving an NVIDIA employee in a Super Micro China-export investigation, along with faster Chinese AI development, are renewing concerns about export controls and market access. Taiwan detains Nvidia employee in Super Micro probe
• Negative Sentiment: Market commentary also points to concentrated insider selling: reported NVIDIA insiders made no open-market purchases and 69 sales over the past six months. Although transactions may be scheduled, the imbalance can weigh on sentiment when valuation expectations are high.
• Negative Sentiment: Broad semiconductor selling and skepticism about AI spending have left NVIDIA below the psychologically important $200 level and below its 50-day moving average, signaling cautious short-term momentum despite strong underlying earnings growth.

Insider Transactions at NVIDIA

In related news, Director Stephen C. Neal sold 15,500 shares of the business's stock in a transaction dated Wednesday, June 3rd. The shares were sold at an average price of $215.73, for a total value of $3,343,815.00. Following the sale, the director directly owned 116,135 shares in the company, valued at $25,053,803.55. The trade was a 11.77% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Mark A. Stevens sold 885,000 shares of the stock in a transaction dated Thursday, June 18th. The shares were sold at an average price of $210.17, for a total transaction of $186,000,450.00. Following the completion of the sale, the director directly owned 5,207,271 shares in the company, valued at approximately $1,094,412,146.07. The trade was a 14.53% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 1,901,125 shares of company stock valued at $410,583,015 in the last 90 days. 3.94% of the stock is currently owned by insiders.

NVIDIA Company Profile

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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