NVIDIA Corporation $NVDA Stock Acquired by Charles Schwab Trust Co

Key Points

• Charles Schwab Trust Co. increased its NVIDIA stake by 4,720.5% in the third quarter, adding 132,976 shares to reach 135,793 shares valued at about $31 million.
• Several other institutional investors also added or initiated NVIDIA positions; institutional investors collectively own 65.27% of the company’s shares.
• NVIDIA reported quarterly earnings and revenue above analyst expectations, while company insiders sold about $399 million in shares over the quarter, with the cited executive sales made under pre-arranged trading plans.

Charles Schwab Trust Co boosted its position in NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 4,720.5% during the third quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 135,793 shares of the computer hardware maker's stock after acquiring an additional 132,976 shares during the period. NVIDIA accounts for 1.8% of Charles Schwab Trust Co's investment portfolio, making the stock its 16th biggest position. Charles Schwab Trust Co's holdings in NVIDIA were worth $31,012,000 at the end of the most recent reporting period.

Other large investors have also added to or reduced their stakes in the company. Gunderson Capital Management LLC purchased a new stake in NVIDIA in the 3rd quarter worth approximately $19,160,000. Formuepleje A S grew its position in shares of NVIDIA by 10.3% in the 3rd quarter. Formuepleje A S now owns 508,536 shares of the computer hardware maker's stock worth $116,139,000 after buying an additional 47,598 shares during the last quarter. Turtle Creek Wealth Advisors LLC grew its position in shares of NVIDIA by 5.2% in the 3rd quarter. Turtle Creek Wealth Advisors LLC now owns 335,027 shares of the computer hardware maker's stock worth $76,514,000 after buying an additional 16,549 shares during the last quarter. WealthPlan Investment Management LLC grew its position in shares of NVIDIA by 4.2% in the 3rd quarter. WealthPlan Investment Management LLC now owns 273,587 shares of the computer hardware maker's stock worth $62,482,000 after buying an additional 11,103 shares during the last quarter. Finally, C2P Capital Advisory Group LLC d.b.a. Prosperity Capital Advisors increased its stake in shares of NVIDIA by 4.7% during the third quarter. C2P Capital Advisory Group LLC d.b.a. Prosperity Capital Advisors now owns 66,862 shares of the computer hardware maker's stock valued at $15,270,000 after buying an additional 3,013 shares during the period. Institutional investors own 65.27% of the company's stock.

Insider Buying and Selling

In other NVIDIA news, EVP Timothy Teter sold 30,460 shares of the company's stock in a transaction dated Monday, September 21st. The shares were sold at an average price of $222.80, for a total value of $6,786,488.00. Following the sale, the executive vice president owned 2,687,660 shares in the company, valued at approximately $598,810,648. This represents a 1.12% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Colette Kress sold 34,918 shares of the firm's stock in a transaction that occurred on 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 represents a 4.36% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 1,766,118 shares of company stock valued at $399,450,353 over the last quarter. Corporate insiders own 3.94% of the company's stock.

NVIDIA Stock Performance

Shares of NVIDIA stock opened at $186.64 on Monday. NVIDIA Corporation has a 12 month low of $164.27 and a 12 month high of $243.37. The firm has a market capitalization of $4.50 trillion, a P/E ratio of 23.60, a P/E/G ratio of 1.43 and a beta of 2.21. The company has a current ratio of 4.59, a quick ratio of 3.85 and a debt-to-equity ratio of 0.14. The business has a fifty day simple moving average of $219.80 and a two-hundred day simple moving average of $204.53.

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

NVIDIA declared that its board has authorized a share buyback plan on Monday, September 28th that authorizes the company to repurchase $150 billion in outstanding shares. This buyback authorization authorizes the computer hardware maker to buy up to 2.8% of its stock through open market purchases. Share buyback plans are typically a sign that the company's leadership believes its stock is undervalued.

NVIDIA Announces Dividend

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

Wall Street Analyst Weigh In

A number of equities analysts recently commented on NVDA shares. Morgan Stanley set a $230.00 target price on NVIDIA in a report on Friday, October 2nd. Wall Street Zen cut shares of NVIDIA from a "strong-buy" rating to a "buy" rating in a report on Saturday, October 24th. Wells Fargo & Company set a $210.00 price target on shares of NVIDIA in a report on Friday, October 2nd. Jefferies Financial Group reissued a "buy" rating on shares of NVIDIA in a research report on Wednesday, August 26th. Finally, Raymond James Financial set a $515.00 price objective on shares of NVIDIA and gave the stock a "strong-buy" rating in a report on Thursday, August 27th. Five investment analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, NVIDIA has a consensus rating of "Buy" and an average price target of $318.85.

Key Headlines Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Some investors see the decline as a buying opportunity, citing NVIDIA’s strong AI-chip position and profitability. ARK Invest also reportedly added $45.9 million of NVDA shares during the sell-off. Nvidia Stock Rises on Dip-Buying: 3 Reasons to Be Optimistic
• Positive Sentiment: CEO Jensen Huang says the next-generation Vera Rubin platform could generate more revenue per gigawatt of data-center capacity than the current platform, supporting the case for continued growth. Jensen Huang Says Nvidia's Next-Gen Vera Rubin Chips Will Generate $40 Billion in Revenue per Gigawatt
• Neutral Sentiment: NVIDIA’s upcoming Nov. 17 results are a key near-term catalyst: investors will look for evidence that demand and guidance can ease fears about AI spending and justify the stock’s recovery. Nvidia Investors Need to Be Paying Attention on Nov. 17
• Negative Sentiment: The rebound follows a steep sell-off that wiped roughly $450 billion from NVIDIA’s market value. Investors are worried that a Democratic-led Congress, data-center permitting or regulatory hurdles, high capital costs, and uncertain returns could delay infrastructure projects and weaken future chip demand. AI stocks hammered by midterm shock as data center buildout becomes a 'war of attrition'
• Negative Sentiment: Reports that NVIDIA may be taking on greater exposure to financially strained “neocloud” customers raise concern that it could face risks beyond selling chips if those providers struggle to fund data centers. As neoclouds face a financial reckoning, Nvidia has to decide how far to go to help

About NVIDIA

NVIDIA Corporation develops graphics processing units (GPUs), accelerated computing platforms and related software. Founded in 1993, the company first became widely known for GPUs used in PC gaming and professional graphics. Its technology now also supports artificial intelligence, scientific computing and other data-intensive applications.

NVIDIA's offerings include GeForce products for gaming, data-center GPUs and systems for AI workloads, and networking products that connect computing infrastructure.

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