Vertrix Wealth Management LLC Makes New Investment in NVIDIA Corporation $NVDA

Key Points

• Vertrix Wealth Management LLC initiated a new position in NVIDIA during the first quarter, buying 23,054 shares valued at about $4.0 million. The stake represents roughly 1.5% of the firm’s portfolio and its 29th-largest holding.
• NVIDIA reported a strong quarter, with earnings per share of $1.87 and revenue of $81.61 billion, both ahead of analyst expectations. Revenue rose 85.2% year over year, highlighting continued demand for its AI and data center products.
• The company also boosted shareholder returns by authorizing an $80 billion stock buyback and raising its quarterly dividend to $0.25 per share from $0.01. Meanwhile, institutional ownership remains high at 65.27%, and analysts currently keep a consensus Buy rating on the stock.

Vertrix Wealth Management LLC purchased a new stake in NVIDIA Corporation (NASDAQ:NVDA - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm purchased 23,054 shares of the computer hardware maker's stock, valued at approximately $4,021,000. NVIDIA accounts for about 1.5% of Vertrix Wealth Management LLC's investment portfolio, making the stock its 29th biggest holding.

A number of other institutional investors and hedge funds have also modified their holdings of the company. Norges Bank acquired a new position in NVIDIA during the 4th quarter worth $62,244,133,000. J. Stern & Co. LLP grew its position in shares of NVIDIA by 13,709.1% in the fourth quarter. J. Stern & Co. LLP now owns 125,760,307 shares of the computer hardware maker's stock valued at $23,454,297,000 after purchasing an additional 124,849,603 shares during the last quarter. Cardano Risk Management B.V. increased its stake in shares of NVIDIA by 896.4% in the fourth quarter. Cardano Risk Management B.V. now owns 78,123,960 shares of the computer hardware maker's stock worth $14,570,119,000 after purchasing an additional 70,283,539 shares during the period. Capital Research Global Investors increased its stake in shares of NVIDIA by 16.1% in the third quarter. Capital Research Global Investors now owns 165,377,852 shares of the computer hardware maker's stock worth $30,855,564,000 after purchasing an additional 22,896,705 shares during the period. Finally, Laurel Wealth Advisors LLC lifted its position in shares of NVIDIA by 15,496.1% during the 2nd quarter. Laurel Wealth Advisors LLC now owns 21,865,525 shares of the computer hardware maker's stock worth $3,454,534,000 after purchasing an additional 21,725,326 shares during the last quarter. 65.27% of the stock is currently owned by institutional investors and hedge funds.

NVIDIA Stock Performance

Shares of NASDAQ NVDA opened at $202.78 on Friday. The firm has a market capitalization of $4.91 trillion, a price-to-earnings ratio of 31.05, a PEG ratio of 0.45 and a beta of 2.21. NVIDIA Corporation has a one year low of $161.61 and a one year high of $236.54. The business has a fifty day simple moving average of $209.45 and a 200 day simple moving average of $194.30. The company has a current ratio of 3.44, a quick ratio of 2.85 and a debt-to-equity ratio of 0.04.

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

NVIDIA declared that its board has initiated a stock repurchase program on Wednesday, May 20th that authorizes the company to buyback $80.00 billion in shares. This buyback authorization authorizes the computer hardware maker to repurchase up to 1.5% of its stock through open market purchases. Stock buyback programs are usually a sign that the company's board of directors believes its stock is undervalued.

NVIDIA Increases Dividend

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

NVIDIA News Summary

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Bank of America and other analysts reiterated bullish views, saying NVIDIA still dominates AI infrastructure spending and that the current valuation looks attractive after the recent selloff. Nvidia backed by Bank of America as analysts see AI leadership supporting further growth
• Positive Sentiment: Research from SemiAnalysis suggested NVIDIA could beat Wall Street expectations on data center revenue, reinforcing the view that AI demand remains stronger than many investors fear. Wall Street’s Most Watched Researcher Just Predicted NVIDIA Will Crush Earnings. Will the Stock Rally?
• Positive Sentiment: NVIDIA announced or was highlighted in several AI product and ecosystem updates, including Hugging Face LeRobot integration and new NIM microservices, which help support its long-term platform story. NVIDIA (NVDA) Integrates Isaac AI Tools into Hugging Face LeRobot
• Neutral Sentiment: Reports that China may allow limited purchases of NVIDIA H200 chips could modestly improve sentiment, but supply appears tightly capped, limiting the near-term impact. China plans to let top AI firms buy limited amount of Nvidia H200 chips, the Information reports
• Neutral Sentiment: Several articles argued NVIDIA is trading at a lower valuation than usual, which may attract value buyers, but the same decline also reflects investor concerns about competition, margins, and delays in next-gen infrastructure. Nvidia's stock trades at a juicy discount, according to BofA
• Negative Sentiment: Some coverage pointed to slower momentum in the stock versus other AI and semiconductor names, plus concerns about rising competition and a broader rotation away from NVIDIA into other parts of the AI supply chain. Nvidia stock continues to struggle even as AI peers soar: buy, sell, or hold?
• Negative Sentiment: Reuters also reported that France’s competition probe into NVIDIA is nearing an end, keeping regulatory overhang in focus. French competition authority's Nvidia probe nearing end

Insider Activity at NVIDIA

In related news, Director John Dabiri sold 625 shares of the stock in a transaction dated Wednesday, May 27th. The shares were sold at an average price of $214.00, for a total value of $133,750.00. Following the completion of the transaction, the director owned 14,163 shares of the company's stock, valued at $3,030,882. This represents a 4.23% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark A. Stevens sold 885,000 shares of the firm's stock in a transaction dated Thursday, June 18th. The stock was sold at an average price of $210.17, for a total transaction of $186,000,450.00. Following the transaction, 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 disclosure for this sale is available in the SEC filing. Insiders have sold a total of 1,901,125 shares of company stock valued at $410,583,015 over the last quarter. 3.94% of the stock is owned by company insiders.

Analyst Upgrades and Downgrades

A number of analysts have issued reports on NVDA shares. New Street Research lowered their target price on NVIDIA from $343.00 to $340.00 in a report on Thursday, May 21st. Rosenblatt Securities reiterated a "buy" rating and set a $325.00 price target on shares of NVIDIA in a report on Thursday, May 21st. Barclays reissued an "overweight" rating on shares of NVIDIA in a research report on Thursday, May 21st. Argus boosted their target price on shares of NVIDIA from $220.00 to $270.00 and gave the stock a "buy" rating in a research report on Thursday, May 21st. Finally, Seaport Research Partners upped their target price on shares of NVIDIA from $140.00 to $180.00 and gave the company a "sell" rating in a research note on Thursday, May 21st. Three equities 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. Based on data from MarketBeat, NVIDIA presently has a consensus rating of "Buy" and a consensus target price of $303.84.

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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