Old Mission Investment Co LLC Acquires New Position in NVIDIA Corporation $NVDA

Key Points

• Old Mission Investment Co. LLC acquired 24,854 NVIDIA shares worth approximately $4.97 million during the second quarter, making NVDA 1% of its portfolio and its 20th-largest holding. Institutional investors collectively own 65.27% of the stock.
• NVIDIA reported quarterly EPS of $2.22 and revenue of $96.22 billion, exceeding analyst estimates, while revenue surged 105.9% year over year. Analysts maintain a consensus “Buy” rating with an average price target of $321.47.
• The company authorized a $150 billion share-repurchase program, but investors face risks from semiconductor-sector weakness, potential competition to NVIDIA’s CUDA platform and financially strained AI infrastructure customers.

Old Mission Investment Co LLC purchased a new stake in NVIDIA Corporation (NASDAQ:NVDA - Free Report) during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor purchased 24,854 shares of the computer hardware maker's stock, valued at approximately $4,973,000. NVIDIA accounts for 1.0% of Old Mission Investment Co LLC's investment portfolio, making the stock its 20th biggest position.

Several other hedge funds and other institutional investors have also made changes to their positions in the stock. Montgomery Financial Services LLC bought a new position in shares of NVIDIA in the 2nd quarter worth $28,000. Highland Investment Advisors LLC acquired a new stake in shares of NVIDIA during the second quarter worth $583,000. Outlook Capital Management LLC bought a new stake in NVIDIA in the second quarter valued at about $9,510,000. Turner Financial Group Inc. bought a new stake in NVIDIA in the second quarter valued at about $1,535,000. Finally, Oakmont Investment Advisors Inc. increased its holdings in NVIDIA by 3.4% in the second quarter. Oakmont Investment Advisors Inc. now owns 26,458 shares of the computer hardware maker's stock valued at $5,294,000 after purchasing an additional 866 shares during the last quarter. 65.27% of the stock is currently owned by institutional investors.

Key Headlines Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Reportedly, ByteDance, Alibaba and Tencent have placed more than $35 billion in NVIDIA chip orders. The agreement could reopen a significant Chinese market, although the arrangement reportedly includes the U.S. government receiving 15% of Chinese sales. NVIDIA China chip orders
• Positive Sentiment: OpenAI is reportedly raising approximately $30 billion, while NVIDIA has agreed to guarantee up to $105 billion of obligations tied to an Ohio data-center campus OpenAI will lease. The deal could support substantial future demand for NVIDIA systems, but also increases NVIDIA’s exposure to customer financing. OpenAI fundraising and NVIDIA
• Positive Sentiment: Anthropic is reportedly discussing an expansion that could take its Nscale commitment to roughly $90 billion, potentially benefiting NVIDIA as a leading supplier of AI infrastructure. Anthropic Nscale expansion
• Positive Sentiment: NVIDIA announced German partnerships, investments in AI startups and a broader European AI initiative approaching $10 billion, strengthening its position in sovereign and industrial AI. NVIDIA German AI investments
• Positive Sentiment: A record 104-qubit fault-tolerant quantum simulation on Europe’s JUPITER supercomputer demonstrated NVIDIA’s CUDA-Q, cuQuantum and accelerated-computing capabilities, expanding its longer-term technology opportunity beyond AI. NVIDIA quantum simulation
• Neutral Sentiment: Amazon is reportedly receiving billions of dollars of NVIDIA GB300 systems, but some racks are being stored because data centers lack sufficient power. This confirms demand while highlighting deployment bottlenecks. Amazon NVIDIA GPU systems
• Negative Sentiment: Google’s open-source TorchTPU and Amazon’s TorchNeuron initiatives are designed to make competing AI chips easier to use, threatening NVIDIA’s CUDA software moat and long-term pricing power. Google and Amazon challenge NVIDIA CUDA
• Negative Sentiment: Investors remain concerned that heavily indebted neocloud customers, including CoreWeave, may struggle with higher borrowing costs. NVIDIA’s guarantees and investment relationships increase fears that AI infrastructure spending could involve circular or financially fragile demand. Why NVIDIA needs CoreWeave
• Negative Sentiment: Broad semiconductor selling, fading momentum in the AI trade and hedge-fund technology reductions are weighing on NVDA’s near-term performance despite continued strong chip demand. Chip stocks decline

Wall Street Analysts Forecast Growth

NVDA has been the topic of several analyst reports. Jefferies Financial Group reissued a "buy" rating on shares of NVIDIA in a research note on Wednesday, August 26th. Oppenheimer set a $315.00 target price on NVIDIA and gave the stock an "outperform" rating in a research report on Thursday, August 27th. Sanford C. Bernstein restated a "buy" rating on shares of NVIDIA in a research report on Monday, September 21st. Mizuho set a $315.00 price target on NVIDIA and gave the company an "outperform" rating in a research note on Thursday, August 27th. Finally, KGI Securities upped their price target on NVIDIA from $335.00 to $345.00 in a research note on Thursday, August 27th. Five equities research analysts have rated the stock with a Strong Buy rating, fifty have issued a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Buy" and a consensus price target of $321.47.

NVIDIA Price Performance

NVDA opened at $216.47 on Wednesday. The company has a quick ratio of 3.85, a current ratio of 4.59 and a debt-to-equity ratio of 0.14. NVIDIA Corporation has a 12 month low of $164.27 and a 12 month high of $243.37. The company has a fifty day simple moving average of $223.17 and a 200 day simple moving average of $212.01. The stock has a market cap of $5.22 trillion, a P/E ratio of 27.37, a P/E/G ratio of 1.67 and a beta of 2.22.

NVIDIA (NASDAQ:NVDA - Get Free Report) last issued its quarterly earnings data on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, topping the consensus estimate of $2.09 by $0.13. The business 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 firm's revenue was up 105.9% compared to the same quarter last year. During the same quarter last year, the business posted $1.05 EPS. On average, research analysts expect that NVIDIA Corporation will post 9.30 EPS for the current 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 payout ratio is 12.64%.

NVIDIA announced that its Board of Directors has initiated a stock buyback program on Monday, September 28th that authorizes the company to repurchase $150.00 billion in outstanding shares. This buyback authorization authorizes the computer hardware maker to repurchase up to 2.8% of its shares through open market purchases. Share buyback programs are typically a sign that the company's leadership believes its stock is undervalued.

Insider Activity

In related news, Director Mark Stevens sold 622,239 shares of the stock in a transaction that occurred on Friday, September 4th. The stock was sold at an average price of $231.62, for a total transaction of $144,122,997.18. Following the completion of the sale, the director directly owned 2,336,531 shares of the company's stock, valued at approximately $541,187,310.22. This represents a 21.03% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Colette Kress sold 34,918 shares of the stock in a transaction that occurred on Thursday, September 17th. The stock was sold at an average price of $219.05, for a total value of $7,648,787.90. Following the sale, the chief financial officer directly owned 765,103 shares of the company's stock, valued at approximately $167,595,812.15. The trade was a 4.36% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 1,766,118 shares of company stock worth $399,450,353 in the last 90 days. Corporate 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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