State of Michigan Retirement System Sells 815,800 Shares of NVIDIA Corporation $NVDA

Key Points

• State of Michigan Retirement System cut its NVIDIA stake by 10.1% in the first quarter, selling 815,800 shares. NVIDIA remains its largest holding, representing 6.7% of the portfolio and worth about $1.26 billion.
• NVIDIA posted strong quarterly results, with earnings of $1.87 per share versus the $1.76 estimate and revenue of $81.61 billion, above expectations. Revenue jumped 85.2% from a year earlier.
• The company boosted shareholder returns by raising its quarterly dividend to $0.25 from $0.01 and authorizing an $80 billion stock buyback program. Analysts also remain broadly bullish, with a consensus rating of “Buy.”

State of Michigan Retirement System trimmed its position in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 10.1% during the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 7,244,460 shares of the computer hardware maker's stock after selling 815,800 shares during the quarter. NVIDIA accounts for 6.7% of State of Michigan Retirement System's portfolio, making the stock its largest position. State of Michigan Retirement System's holdings in NVIDIA were worth $1,263,434,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently made changes to their positions in the company. State Street Corp lifted its holdings in NVIDIA by 1.2% during the fourth quarter. State Street Corp now owns 991,480,489 shares of the computer hardware maker's stock worth $184,911,111,000 after acquiring an additional 11,451,386 shares in the last quarter. Geode Capital Management LLC increased its holdings in shares of NVIDIA by 0.6% in the fourth quarter. Geode Capital Management LLC now owns 588,803,093 shares of the computer hardware maker's stock worth $109,446,217,000 after acquiring an additional 3,383,441 shares in the last quarter. Norges Bank bought a new stake in shares of NVIDIA in the fourth quarter worth about $62,244,133,000. Bank of America Corp DE raised its position in shares of NVIDIA by 1.5% during the fourth quarter. Bank of America Corp DE now owns 187,181,484 shares of the computer hardware maker's stock worth $34,909,347,000 after purchasing an additional 2,849,678 shares during the period. Finally, Legal & General Group Plc lifted its holdings in shares of NVIDIA by 1.5% during the 3rd quarter. Legal & General Group Plc now owns 181,203,035 shares of the computer hardware maker's stock valued at $33,808,862,000 after purchasing an additional 2,609,560 shares in the last quarter. Institutional investors and hedge funds own 65.27% of the company's stock.

NVIDIA Stock Down 0.9%

NASDAQ:NVDA opened at $206.84 on Friday. The stock has a 50-day simple moving average of $207.85 and a 200 day simple moving average of $195.81. NVIDIA Corporation has a 52-week low of $164.07 and a 52-week high of $236.54. The company has a market cap of $5.01 trillion, a PE ratio of 31.68, a PEG ratio of 0.41 and a beta of 2.21. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.85 and a current ratio of 3.44.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, beating the consensus estimate of $1.76 by $0.11. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The firm had revenue of $81.61 billion for the quarter, compared to analysts' expectations of $78.42 billion. During the same quarter in the previous year, the business posted $0.81 EPS. The business's quarterly revenue was up 85.2% compared to the same quarter last year. On average, sell-side analysts expect that NVIDIA Corporation will post 8.79 EPS for the current fiscal year.

NVIDIA Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.5%. This is a boost from NVIDIA's previous quarterly dividend of $0.01. The ex-dividend date was Thursday, June 4th. NVIDIA's dividend payout ratio is 15.31%.

NVIDIA declared that its Board of Directors has authorized a stock 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 stock through open market purchases. Stock repurchase plans are generally a sign that the company's board of directors believes its shares are undervalued.

Key Stories Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA announced a joint AI research lab with KAIST in Seoul, a $300 million collaboration that will fund researchers, internships, and AI infrastructure to advance agentic AI in South Korea. NVIDIA and KAIST Launch Joint AI Research Lab to Accelerate AI Innovation in Korea
• Positive Sentiment: The company also struck a $1.5 billion partnership with Amkor to expand advanced semiconductor packaging and test capacity in the U.S., reinforcing NVIDIA’s AI supply chain and manufacturing footprint. Nvidia, Amkor strike $1.5 billion chip packaging deal
• Positive Sentiment: Jensen Huang and NVIDIA joined Microsoft, Meta, and others in publicly backing open-source AI models, which could support broader AI adoption and future demand for NVIDIA GPUs. Nvidia, Microsoft and other tech giants back open-source AI models
• Positive Sentiment: Several technical reports say NVDA is holding support and may be forming a bullish inverse head-and-shoulders pattern, while other analysts point to a breakout above the 50-day moving average as a possible catalyst. NVIDIA Corp. (NVDA) Price Forecast: Can NVDA Break Above Key Resistance?
• Neutral Sentiment: Institutional filings show continued buying from some funds, but insider activity remains dominated by sales, which keeps sentiment mixed rather than decisively bullish. Fund Update: 337,821 NVIDIA (NVDA) shares added to COMGEST GLOBAL INVESTORS S.A.S. portfolio
• Negative Sentiment: Broader semiconductor shares have pulled back as investors take profits and worry about AI valuation levels and heavy capex spending, which has weighed on NVIDIA along with the rest of the AI trade. Semiconductor Crossroads: Healthy Consolidation or Deeper Repricing?
• Negative Sentiment: News flow also highlights investor rotation out of the biggest AI winners and concerns that the “Magnificent 7” are digesting a surge in AI infrastructure spending, creating near-term pressure on NVDA despite strong long-term demand. Magnificent 7 stocks shed hundreds of billions amid AI spending fears

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on the company. Wedbush boosted their price objective on NVIDIA from $300.00 to $330.00 and gave the company an "outperform" rating in a research report on Thursday, May 21st. TD Cowen restated a "buy" rating and set a $275.00 target price (up from $235.00) on shares of NVIDIA in a report on Friday, May 15th. Wells Fargo & Company reaffirmed an "overweight" rating and issued a $315.00 price target (up from $265.00) on shares of NVIDIA in a research note on Tuesday, May 12th. Royal Bank Of Canada set a $280.00 price target on shares of NVIDIA in a research note on Thursday, May 21st. Finally, Evercore reiterated an "outperform" rating and issued a $413.00 price target (up from $352.00) on shares of NVIDIA in a report on Thursday, May 21st. Three investment analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Buy" and an average price target of $304.26.

Insider Transactions at NVIDIA

In related news, Director Stephen C. Neal sold 15,500 shares of the firm'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 completion of the transaction, the director owned 116,135 shares of the company's stock, valued at approximately $25,053,803.55. This trade represents a 11.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director John Dabiri sold 625 shares of NVIDIA stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $214.00, for a total transaction of $133,750.00. Following the completion of the sale, the director owned 14,163 shares in the company, valued at $3,030,882. The trade was a 4.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 1,901,125 shares of company stock valued at $410,583,015 over the last 90 days. 3.94% of the stock is owned by corporate insiders.

NVIDIA Company 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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