NVIDIA Corporation $NVDA Stock Position Cut by Petra Financial Advisors Inc.

Key Points

• Petra Financial Advisors cut its NVIDIA stake by 30.1% in the first quarter, selling 6,572 shares and retaining 15,275 shares valued at approximately $2.66 million. Institutional investors still own 65.27% of NVDA.
• NVIDIA continues to report strong fundamentals, with quarterly revenue rising 85.2% year over year to $81.61 billion and EPS exceeding estimates. Analysts remain broadly bullish, assigning the stock an average “Buy” rating and a $304.26 price target.
• Investor sentiment is supported by accelerating AI infrastructure demand, an $80 billion share-repurchase authorization and a higher dividend, but concerns remain about insider selling, AI financing risks and longer-term competition from custom chips.

Petra Financial Advisors Inc. decreased its stake in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 30.1% during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 15,275 shares of the computer hardware maker's stock after selling 6,572 shares during the period. NVIDIA makes up 1.6% of Petra Financial Advisors Inc.'s portfolio, making the stock its 11th biggest position. Petra Financial Advisors Inc.'s holdings in NVIDIA were worth $2,664,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds and other institutional investors also recently made changes to their positions in the stock. Brighton Jones LLC increased its stake in shares of NVIDIA by 12.4% during the fourth quarter. Brighton Jones LLC now owns 324,901 shares of the computer hardware maker's stock valued at $43,631,000 after acquiring an additional 35,815 shares during the period. Bank Pictet & Cie Europe AG lifted its position in NVIDIA by 1.0% in the fourth quarter. Bank Pictet & Cie Europe AG now owns 2,346,417 shares of the computer hardware maker's stock worth $315,100,000 after purchasing an additional 22,929 shares during the period. Highview Capital Management LLC DE lifted its position in NVIDIA by 6.7% in the fourth quarter. Highview Capital Management LLC DE now owns 58,396 shares of the computer hardware maker's stock worth $7,842,000 after purchasing an additional 3,653 shares during the period. Hudson Value Partners LLC boosted its stake in NVIDIA by 30.7% during the 4th quarter. Hudson Value Partners LLC now owns 50,658 shares of the computer hardware maker's stock valued at $6,805,000 after purchasing an additional 11,900 shares in the last quarter. Finally, Wealth Group Ltd. increased its position in shares of NVIDIA by 15.7% during the 1st quarter. Wealth Group Ltd. now owns 6,598 shares of the computer hardware maker's stock valued at $715,000 after purchasing an additional 896 shares during the period. 65.27% of the stock is currently owned by institutional investors.

NVIDIA News Summary

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Cloud providers are accelerating spending on AI infrastructure, particularly NVIDIA’s liquid-cooled Blackwell systems. This reinforced expectations that demand for NVIDIA’s data-center GPUs remains well ahead of supply ahead of the company’s next earnings report. Nvidia stock climbs as AI infrastructure demand boosts investor sentiment
• Positive Sentiment: Analyst and earnings-preview coverage remains bullish. NVIDIA has a strong history of beating estimates, while reported first-quarter revenue of $81.6 billion and data-center revenue of $75.2 billion showed exceptional year-over-year growth. Forecasts also point to continued momentum from the Blackwell and upcoming Vera Rubin platforms. Will Nvidia beat estimates again
• Positive Sentiment: A strong Nasdaq and semiconductor-sector rebound lifted sentiment across chip stocks, providing an additional market-wide catalyst for NVDA. Some analysts argue that NVIDIA’s valuation remains reasonable relative to its growth and potential future sales. Nvidia beats stock market upswing
• Neutral Sentiment: NVIDIA is using financial guarantees, equity investments, and revenue-sharing arrangements to help customers build AI data centers and secure demand for Vera Rubin. The strategy could strengthen its ecosystem and market share, but it also increases exposure to customer defaults, cash outflows, and weaker AI-investment returns. Nvidia financial engineering and Vera Rubin
• Negative Sentiment: Risk-focused coverage highlights concerns about circular financing, rising AI infrastructure costs, and whether hyperscaler spending can remain economically justified. NVIDIA has also traded sideways for several months, suggesting investors may require stronger earnings or guidance to sustain a breakout. Nvidia stock remains in a $200 rut
• Negative Sentiment: Longer-term competitive risks are emerging as custom AI chips gain traction and AI-generated software could weaken CUDA’s traditional competitive moat, particularly as workloads shift from training toward inference. AI threats to Nvidia CUDA

Insider Activity

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

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on NVDA. China Renaissance initiated coverage on NVIDIA in a research note on Friday, June 5th. They issued a "buy" rating and a $319.00 price objective on the stock. Wedbush lifted their target price on NVIDIA from $300.00 to $330.00 and gave the stock an "outperform" rating in a report on Thursday, May 21st. Jefferies Financial Group reiterated a "buy" rating and issued a $300.00 price target (up from $275.00) on shares of NVIDIA in a research report on Thursday, May 21st. William Blair reissued an "outperform" rating on shares of NVIDIA in a report on Tuesday, June 2nd. Finally, Robert W. Baird set a $500.00 price target on shares of NVIDIA and gave the company an "outperform" rating in a report on Thursday, May 21st. Three analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Buy" and an average target price of $304.26.

NVIDIA Stock Up 2.9%

NVDA stock opened at $206.64 on Tuesday. The company has a debt-to-equity ratio of 0.04, a current ratio of 3.44 and a quick ratio of 2.85. The firm has a market capitalization of $5.00 trillion, a P/E ratio of 31.64, a P/E/G ratio of 0.39 and a beta of 2.23. NVIDIA Corporation has a 52-week low of $164.07 and a 52-week high of $236.54. The company's 50 day simple moving average is $205.24 and its 200-day simple moving average is $196.34.

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

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

NVIDIA Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were issued a dividend of $0.25 per share. This is a positive change 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 was Thursday, June 4th. NVIDIA's dividend payout ratio is presently 15.31%.

NVIDIA 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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