Sumitomo Mitsui Trust Group Inc. Cuts Stock Position in NVIDIA Corporation $NVDA

Key Points

• Sumitomo Mitsui Trust Group trimmed its NVIDIA stake by 4.1% in Q1, but NVIDIA remains its largest holding and makes up 6.8% of its portfolio. The firm still owned about 60.6 million shares worth roughly $10.6 billion.
• Wall Street sentiment stays bullish, with several analysts raising price targets and the consensus rating remaining “Moderate Buy.” The average target price is $304.26, though some firms have set much higher targets, including $500.
• NVIDIA continues to show strong business momentum, reporting better-than-expected quarterly earnings and revenue growth of 85.2% year over year. The company also recently increased its dividend and approved an $80 billion share repurchase program.

Sumitomo Mitsui Trust Group Inc. cut its holdings in NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 4.1% in the 1st quarter, according to its most recent 13F filing with the SEC. The firm owned 60,623,030 shares of the computer hardware maker's stock after selling 2,612,853 shares during the quarter. NVIDIA comprises 6.8% of Sumitomo Mitsui Trust Group Inc.'s holdings, making the stock its biggest position. Sumitomo Mitsui Trust Group Inc. owned approximately 0.25% of NVIDIA worth $10,572,656,000 as of its most recent SEC filing.

A number of other large investors have also bought and sold shares of NVDA. Lifetime Wealth Management P.C. bought a new stake in shares of NVIDIA during the fourth quarter worth $26,000. Longview Financial Advisors Inc. acquired a new position in NVIDIA in the 1st quarter worth $27,000. Longfellow Investment Management Co. LLC boosted its stake in NVIDIA by 47.9% in the 2nd quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker's stock worth $33,000 after purchasing an additional 67 shares during the period. Inspire Investing LLC bought a new position in NVIDIA during the 4th quarter worth about $44,000. Finally, AlphaCentric Advisors LLC bought a new position in NVIDIA during the 4th quarter worth about $45,000. 65.27% of the stock is owned by institutional investors.

Analysts Set New Price Targets

A number of analysts have recently commented on the company. Weiss Ratings restated a "buy (b)" rating on shares of NVIDIA in a report on Wednesday, July 8th. Wedbush increased their price objective on NVIDIA from $300.00 to $330.00 and gave the stock an "outperform" rating in a report on Thursday, May 21st. China Renaissance began coverage on NVIDIA in a research report on Friday, June 5th. They issued a "buy" rating and a $319.00 target price on the stock. Robert W. Baird set a $500.00 target price on NVIDIA and gave the company an "outperform" rating in a research note on Thursday, May 21st. Finally, BNP Paribas Exane raised their price target on shares of NVIDIA from $270.00 to $285.00 and gave the stock an "outperform" rating in a research note on Thursday, May 21st. Two research analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and three have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $304.26.

Key NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA expanded its AI footprint in Japan with new partnerships across robotics, manufacturing, and public-sector infrastructure, including a national AI infrastructure initiative and the launch of Cosmos 3 Edge and Nemotron-based local AI projects. These moves reinforce NVDA’s role as the core platform for physical AI and could support long-term demand. Japan Government, Industrial Leaders and NVIDIA Launch the World's First National AI Infrastructure
• Positive Sentiment: Multiple analysts raised earnings estimates for NVIDIA, with KeyCorp and Erste Group boosting forecasts and maintaining bullish ratings/price targets. That suggests Wall Street still sees strong profit growth ahead.
• Positive Sentiment: TSMC reported strong AI-driven demand, which is a positive read-through for NVIDIA’s supply chain and ongoing chip demand. TSMC Just Announced Fantastic News for Nvidia Shareholders
• Neutral Sentiment: Apple briefly overtook NVIDIA as the world’s most valuable company, highlighting a rotation in mega-cap leadership and renewed investor doubts about how much AI upside is already priced into NVDA. Apple dethrones Nvidia as world's most valuable company, ending the chipmaker's long run at the top
• Neutral Sentiment: Several articles point to a broader semiconductor sell-off and “sell the news” behavior in AI and chip stocks, which appears to be pressuring NVDA along with peers rather than reflecting a company-specific setback. Why Nvidia stock is down around 2.5% on Thursday
• Negative Sentiment: Market commentary from Jim Cramer and other bearish notes on semiconductors suggest some investors are rotating out of chip stocks, adding near-term pressure to NVDA sentiment. Jim Cramer Says Semiconductor Stocks Are “Going Down.” Buy These 2 Dividend Stocks Instead

Insider Transactions at NVIDIA

In other news, Director Mark A. Stevens sold 885,000 shares of the stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $210.17, for a total value of $186,000,450.00. Following the completion of the sale, the director owned 5,207,271 shares of the company's stock, valued at approximately $1,094,412,146.07. This represents a 14.53% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, 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 transaction of $3,343,815.00. Following the completion of the transaction, the director directly owned 116,135 shares of the company's stock, valued at $25,053,803.55. This represents a 11.77% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 1,901,125 shares of company stock worth $410,583,015 in the last 90 days. Corporate insiders own 3.94% of the company's stock.

NVIDIA Price Performance

Shares of NASDAQ NVDA opened at $202.81 on Monday. 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 business has a 50-day moving average of $209.63 and a 200-day moving average of $195.15. The stock has a market capitalization of $4.91 trillion, a price-to-earnings ratio of 31.06, a PEG ratio of 0.45 and a beta of 2.21. NVIDIA Corporation has a fifty-two week low of $164.07 and a fifty-two week high of $236.54.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, topping 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 business had revenue of $81.61 billion for the quarter, compared to analyst estimates of $78.42 billion. During the same quarter in the prior year, the company posted $0.81 earnings per share. NVIDIA's revenue was up 85.2% on a year-over-year basis. As a group, sell-side analysts predict that NVIDIA Corporation will post 8.79 earnings per share for the current fiscal year.

NVIDIA Increases Dividend

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

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

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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