NVIDIA Corporation $NVDA Stock Position Lowered by Xcel Wealth Management LLC

Key Points

• Xcel Wealth Management reduced its NVIDIA position by 3% in the second quarter, selling 2,617 shares and retaining 85,544 shares valued at approximately $17.1 million. NVIDIA remains the firm’s fifth-largest holding and represents about 4.1% of its portfolio.
• Analyst sentiment remains strongly positive: NVIDIA has an average “Buy” rating and a consensus price target of $324.34, while several firms recently raised targets to between $300 and $335.
• NVIDIA reported quarterly EPS and revenue above expectations, with revenue rising 105.9% year over year. However, insiders sold significant amounts of stock, including director Mark Stevens’ roughly $144.1 million sale and CFO Colette Kress’ $7.6 million sale.

Xcel Wealth Management LLC trimmed its holdings in NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 3.0% during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 85,544 shares of the computer hardware maker's stock after selling 2,617 shares during the period. NVIDIA accounts for about 4.1% of Xcel Wealth Management LLC's investment portfolio, making the stock its 5th largest position. Xcel Wealth Management LLC's holdings in NVIDIA were worth $17,117,000 as of its most recent SEC filing.

Several other hedge funds also recently bought and sold shares of NVDA. Lifetime Wealth Management P.C. purchased a new stake in NVIDIA in the 4th quarter worth approximately $26,000. Longview Financial Advisors Inc. purchased a new stake in NVIDIA during the first quarter valued at about $27,000. Phillip James Consulting Co. acquired a new stake in NVIDIA during the 1st quarter worth approximately $40,000. Syntax Research Inc. increased its position in shares of NVIDIA by 62.5% in the fourth quarter. Syntax Research Inc. now owns 260 shares of the computer hardware maker's stock worth $49,000 after acquiring an additional 100 shares in the last quarter. Finally, Frankly Finances LLC purchased a new position in NVIDIA in the second quarter valued at about $60,000. Hedge funds and other institutional investors own 65.27% of the company's stock.

Analyst Ratings Changes

A number of research analysts recently commented on the company. Phillip Securities increased their price target on NVIDIA from $285.00 to $300.00 and gave the company a "buy" rating in a report on Monday, August 31st. Wall Street Zen raised NVIDIA from a "buy" rating to a "strong-buy" rating in a research report on Saturday, August 29th. Oppenheimer set a $315.00 target price on NVIDIA and gave the company an "outperform" rating in a research note on Thursday, August 27th. KeyCorp reissued an "overweight" rating and set a $330.00 price target on shares of NVIDIA in a research report on Monday, August 24th. Finally, Benchmark restated a "buy" rating and issued a $335.00 price target on shares of NVIDIA in a research note on Thursday, August 27th. Three investment analysts have rated the stock with a Strong Buy rating, fifty have issued a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, NVIDIA has an average rating of "Buy" and an average price target of $324.34.

NVIDIA Stock Performance

NVDA opened at $222.27 on Friday. The business has a 50 day moving average price of $214.66 and a two-hundred day moving average price of $204.29. The company has a debt-to-equity ratio of 0.14, a current ratio of 4.59 and a quick ratio of 3.85. The company has a market capitalization of $5.36 trillion, a price-to-earnings ratio of 28.10, a price-to-earnings-growth ratio of 1.69 and a beta of 2.22. NVIDIA Corporation has a 1-year low of $164.27 and a 1-year high of $236.54.

NVIDIA (NASDAQ:NVDA - Get Free Report) last posted its quarterly earnings data on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, topping analysts' consensus estimates of $2.09 by $0.13. The company had revenue of $96.22 billion for the quarter, compared to the consensus estimate of $92.27 billion. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%.The company's quarterly revenue was up 105.9% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.05 EPS. Research analysts predict that NVIDIA Corporation will post 9.25 EPS for the current fiscal year.

NVIDIA Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Thursday, September 10th will be issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 0.4%. The ex-dividend date of this dividend is Thursday, September 10th. NVIDIA's dividend payout ratio is presently 12.64%.

NVIDIA News Roundup

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: CEO Jensen Huang said NVIDIA expects to sell roughly twice as many chips next year, reinforcing expectations that hyperscaler spending on AI data centers remains strong. The forecast includes demand for GPUs, CPUs, networking equipment and complete server racks. Nvidia Chip Sales Could Double Next Year, CEO Jensen Huang Says
• Positive Sentiment: Analysts and market commentators increasingly view NVIDIA as attractively valued relative to its growth. Its scale, diversified AI exposure, high profitability and lower forward valuation multiple give it an advantage over peers such as Credo, while some estimates suggest revenue growth could remain near 70% in fiscal 2028. Credo vs. NVIDIA After Earnings
• Positive Sentiment: AI infrastructure demand is expanding beyond processors into high-bandwidth memory and optical networking. NVIDIA has identified memory and silicon photonics as potential bottlenecks and has committed capital and purchase agreements involving suppliers such as Coherent and Lumentum, signaling sustained demand throughout its supply chain.
• Positive Sentiment: New ecosystem activity supports NVIDIA’s long-term growth narrative. Cloud partner CoreWeave is deploying next-generation Vera Rubin clusters, while NVIDIA-backed Nscale filed for a U.S. IPO. NVIDIA technology is also being used in autonomous trading systems, quantum-computing research and planned enterprise augmented-reality products.
• Neutral Sentiment: Speculative initiatives, including potential orbital data centers with SpaceX and NVIDIA’s quantum-computing software, could create future demand but are unlikely to materially affect near-term revenue.
• Negative Sentiment: Investors remain alert to competition from Huawei’s planned 2027 Ascend chips, possible AI-spending deceleration, rising memory costs that could pressure gross margins, and the effects of higher interest rates. The stock’s elevated valuation and dependence on continued hyperscaler capital expenditure also leave it sensitive to disappointing guidance.

Insider Activity

In other news, Director Mark Stevens sold 622,239 shares of the firm's stock in a transaction dated Friday, September 4th. The shares were sold at an average price of $231.62, for a total transaction of $144,122,997.18. Following the completion of 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 position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, CFO Colette Kress sold 34,918 shares of NVIDIA stock in a transaction that occurred on Thursday, September 17th. The stock was sold at an average price of $219.05, for a total transaction of $7,648,787.90. Following the completion of the transaction, the chief financial officer directly owned 765,103 shares in the company, valued at $167,595,812.15. This represents a 4.36% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 1,735,658 shares of company stock worth $392,663,865. Corporate insiders own 3.94% of the company's stock.

About NVIDIA

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company's offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.

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