SG Trading Solutions LLC Invests $31.70 Million in NVIDIA Corporation $NVDA

Key Points

• SG Trading Solutions LLC bought a new stake in NVIDIA during the fourth quarter, acquiring 169,974 shares valued at about $31.7 million. The position makes NVIDIA the firm’s largest holding, at roughly 7.4% of its portfolio.
• Institutional interest in NVIDIA remains strong, with multiple hedge funds and investment firms also adding or increasing positions. Overall, institutional investors now own 65.27% of the company.
• NVIDIA’s recent fundamentals and outlook remain upbeat: the company beat quarterly earnings and revenue estimates, approved an $80 billion share buyback, and raised its dividend. Analysts largely remain bullish, with a consensus rating of Buy and a target price around $305.67.

SG Trading Solutions LLC purchased a new stake in NVIDIA Corporation (NASDAQ:NVDA - Free Report) in the fourth quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm purchased 169,974 shares of the computer hardware maker's stock, valued at approximately $31,700,000. NVIDIA comprises approximately 7.4% of SG Trading Solutions LLC's portfolio, making the stock its biggest holding.

A number of other hedge funds and other institutional investors also recently modified their holdings of NVDA. Longfellow Investment Management Co. LLC boosted its stake in shares of NVIDIA by 47.9% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker's stock worth $33,000 after acquiring an additional 67 shares during the period. Spurstone Advisory Services LLC bought a new stake in NVIDIA in the 2nd quarter valued at $40,000. Inspire Investing LLC bought a new stake in NVIDIA in the 4th quarter valued at $44,000. AlphaCentric Advisors LLC acquired a new stake in NVIDIA during the 4th quarter valued at $45,000. Finally, Syntax Research Inc. boosted its position in NVIDIA by 62.5% during the fourth quarter. Syntax Research Inc. now owns 260 shares of the computer hardware maker's stock worth $49,000 after purchasing an additional 100 shares during the period. Institutional investors own 65.27% of the company's stock.

Insider Activity at NVIDIA

In other NVIDIA news, Director John Dabiri sold 625 shares of NVIDIA stock in a transaction on Wednesday, May 27th. The stock was sold at an average price of $214.00, for a total value of $133,750.00. Following the completion of the transaction, the director directly owned 14,163 shares of the company's stock, valued at $3,030,882. The trade was a 4.23% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Stephen C. Neal sold 15,500 shares of the company's stock in a transaction on 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 owned 116,135 shares of the company's stock, valued at approximately $25,053,803.55. The trade was a 11.77% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 1,016,125 shares of company stock worth $224,582,565. Company insiders own 3.94% of the company's stock.

Key Headlines Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Jensen Huang’s latest comments were interpreted as a sign that demand for NVIDIA’s AI hardware remains strong, reinforcing the view that the company still has room to grow from the AI buildout. 13 Words From Jensen Huang That Spell Good News for Nvidia Shareholders
• Positive Sentiment: Multiple reports highlighted NVIDIA’s expanding AI ecosystem, including XR AI/public beta, physical AI, and new partnerships, which supports the case that NVIDIA is moving beyond data centers into additional growth markets. How NVIDIA (NVDA) Is Extending Its AI Infrastructure Reach Into XR and Physical AI
• Positive Sentiment: NVIDIA was said to have taken the No. 1 spot in data-center Ethernet switching by revenue in Q1, underscoring that its networking business is becoming a more meaningful part of the AI stack. Nvidia takes No. 1 spot in data center ethernet switching by revenue in Q1: IDC
• Positive Sentiment: Analysts and market commentary continued to point to NVIDIA as a leading AI beneficiary versus weaker chip names, with several pieces framing it as a core alternative in the ongoing semiconductor rally. Analyst Warns Intel Valuation ‘Doesn't Make Sense.' Suggests NVIDIA, AMD, Micron, and Broadcom as Alternatives.
• Neutral Sentiment: Several articles noted that AI spending is broadening to suppliers, cloud providers, and custom-chip rivals, suggesting NVIDIA’s dominance is being challenged but not yet displaced. Google Is Using Nvidia's Playbook to Build a Rival AI Chip Business
• Negative Sentiment: There were also warning signs for investors, including commentary that NVIDIA has slipped since its last earnings report and concerns that heavy AI infrastructure spending, debt financing, and competition from Amazon and Google could pressure long-term margins or growth rates. Nvidia (NVDA) Down 4% Since Last Earnings Report: Can It Rebound?

NVIDIA Price Performance

NASDAQ:NVDA opened at $210.69 on Friday. NVIDIA Corporation has a 52 week low of $142.03 and a 52 week high of $236.54. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.85 and a current ratio of 3.44. The firm's 50-day simple moving average is $209.90 and its 200 day simple moving average is $192.38. The firm has a market cap of $5.10 trillion, a price-to-earnings ratio of 32.26, a P/E/G ratio of 0.47 and a beta of 2.22.

NVIDIA (NASDAQ:NVDA - Get Free Report) last posted its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, beating 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 the consensus estimate of $78.42 billion. During the same quarter in the previous year, the firm posted $0.81 EPS. The business's revenue for the quarter was up 85.2% compared to the same quarter last year. As a group, sell-side analysts predict that NVIDIA Corporation will post 8.65 earnings per share for the current year.

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

NVIDIA Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, June 26th. Investors of record on Thursday, June 4th will be paid a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. This is an increase from NVIDIA's previous quarterly dividend of $0.01. The ex-dividend date is Thursday, June 4th. NVIDIA's dividend payout ratio is presently 15.31%.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on the stock. DZ Bank reissued a "buy" rating on shares of NVIDIA in a research report on Thursday, May 21st. Benchmark reaffirmed a "buy" rating and set a $335.00 target price (up from $250.00) on shares of NVIDIA in a report on Thursday, May 21st. New Street Research decreased their price target on shares of NVIDIA from $343.00 to $340.00 in a research note on Thursday, May 21st. Sanford C. Bernstein reissued a "buy" rating on shares of NVIDIA in a report on Monday, June 8th. Finally, Morgan Stanley set a $288.00 price objective on NVIDIA and gave the stock an "overweight" rating in a report on Thursday, May 21st. Three equities research analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Buy" and a consensus target price of $305.67.

About NVIDIA

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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