William Blair Investment Management LLC Reduces Stock Holdings in NVIDIA Corporation $NVDA

Key Points

• William Blair Investment Management cut its NVIDIA stake by 8.1% in the fourth quarter, selling 940,334 shares and leaving it with 10,628,667 shares worth about $1.98 billion. NVIDIA remains its largest holding, representing 5.5% of the portfolio.
• NVIDIA reported strong quarterly results, including earnings of $1.87 per share and revenue of $81.62 billion, both above estimates, with revenue up 85.2% year over year. The company also announced a much larger quarterly dividend and an $80 billion share buyback.
• Despite some recent pressure from semiconductor weakness and insider selling, analysts remain broadly bullish on NVIDIA, with a consensus rating of “Buy” and a target price around $305.67. Recent coverage continues to highlight AI demand, Blackwell ramp-up, and expansion into new growth areas like robotics and PCs.

William Blair Investment Management LLC lowered its holdings in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 8.1% during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 10,628,667 shares of the computer hardware maker's stock after selling 940,334 shares during the period. NVIDIA makes up 5.5% of William Blair Investment Management LLC's investment portfolio, making the stock its largest holding. William Blair Investment Management LLC's holdings in NVIDIA were worth $1,982,246,000 as of its most recent SEC filing.

Other hedge funds have also bought and sold shares of the company. Longfellow Investment Management Co. LLC boosted its stake in NVIDIA by 47.9% during the second 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 in the last quarter. Spurstone Advisory Services LLC purchased a new position in NVIDIA in the second quarter worth about $40,000. Syntax Research Inc. raised its holdings in NVIDIA by 62.5% in the fourth quarter. Syntax Research Inc. now owns 260 shares of the computer hardware maker's stock worth $49,000 after buying an additional 100 shares during the last quarter. Sellwood Investment Partners LLC purchased a new position in NVIDIA in the third quarter worth about $50,000. Finally, Networth Advisors LLC purchased a new position in NVIDIA in the fourth quarter worth about $51,000. Institutional investors own 65.27% of the company's stock.

NVIDIA News Roundup

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA continues to win bullish analyst coverage, with firms like China Renaissance and KeyBanc reiterating optimistic views and high price targets, reinforcing expectations for further upside. China Renaissance rating update
• Positive Sentiment: NVIDIA’s ecosystem is expanding, including a major AI partnership with Taiwan Semiconductor and new collaborations across software, memory, and connectivity, which supports future demand for its AI platforms. Taiwan Semiconductor Manufacturing Signs Major AI Deal With Nvidia
• Positive Sentiment: Jensen Huang’s trip to South Korea has highlighted new growth avenues, including robotics and deeper supplier relationships, adding to NVIDIA’s long-term growth narrative. Nvidia CEO sees robotics as next major sector in South Korea
• Positive Sentiment: Recent commentary says NVIDIA’s Blackwell ramp, CUDA software moat, and AI inference exposure keep the growth story strong, helping investors view pullbacks as buyable. Analyst Picks NVIDIA Over Every Other AI Chip Stock Right Now
• Positive Sentiment: The company’s new PC chip push and RTX Spark product could open another growth lane beyond data centers, even if the market is still digesting the near-term implications. Nvidia's PC Chip Reveal Obscures a Bigger Catalyst for the Stock
• Neutral Sentiment: NVIDIA recently reported strong quarterly results, beat revenue and EPS estimates, and authorized an $80 billion buyback plus a much larger dividend, but those positives are already well known and may be partly priced in. NVIDIA insider trades report
• Negative Sentiment: Broad semiconductor weakness and softer risk appetite after strong jobs data have pressured AI chip stocks, with investors questioning whether the sector’s valuation has gotten ahead of fundamentals. Nvidia stock crashes another 3% today: why Computex failed to spark a rally
• Negative Sentiment: Senator Elizabeth Warren’s invitation for Jensen Huang to testify on China chip sales adds regulatory and export-control overhang around NVIDIA’s business in China. Warren invites Nvidia CEO Jensen Huang to Senate hearing on China AI chip sales
• Negative Sentiment: Director Mark Stevens’ large share sale is also weighing on sentiment, since insider selling can make investors cautious even when the underlying business remains strong. NVIDIA insider trading filing

NVIDIA Price Performance

Shares of NASDAQ:NVDA opened at $205.10 on Friday. 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 has a fifty day moving average price of $203.37 and a 200 day moving average price of $190.55. NVIDIA Corporation has a fifty-two week low of $140.85 and a fifty-two week high of $236.54. The firm has a market cap of $4.96 trillion, a price-to-earnings ratio of 31.41, a P/E/G ratio of 0.46 and a beta of 2.22.

NVIDIA (NASDAQ:NVDA - Get Free Report) last issued its 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 $81.62 billion during the quarter, compared to analyst estimates of $78.42 billion. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. NVIDIA's revenue for the quarter was up 85.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.81 earnings per share. As a group, sell-side analysts expect that NVIDIA Corporation will post 8.61 earnings per share for the current fiscal year.

NVIDIA Increases Dividend

The firm 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 dividend of $0.25 per share. The ex-dividend date of this dividend is Thursday, June 4th. This is a positive change from NVIDIA's previous quarterly dividend of $0.01. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. NVIDIA's payout ratio is currently 15.31%.

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

Analysts Set New Price Targets

Several research analysts have issued reports on the stock. UBS Group lifted their target price on shares of NVIDIA from $275.00 to $280.00 and gave the stock a "buy" rating in a report on Thursday, May 21st. Rosenblatt Securities reaffirmed a "buy" rating and issued a $325.00 target price on shares of NVIDIA in a report on Thursday, May 21st. Needham & Company LLC reaffirmed a "buy" rating and issued a $270.00 target price on shares of NVIDIA in a report on Tuesday, June 2nd. New Street Research decreased their target price on shares of NVIDIA from $343.00 to $340.00 in a report on Thursday, May 21st. Finally, Citigroup began coverage on shares of NVIDIA in a report on Wednesday, April 15th. They issued a "buy" rating for the company. Three equities research analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and three have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Buy" and a consensus target price of $305.67.

Insider Activity at NVIDIA

In related news, Director John Dabiri sold 625 shares of the company's 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 sale, 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 Securities & Exchange Commission, which is available through this link. 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 transaction of $3,343,815.00. Following the sale, the director directly owned 116,135 shares in the company, valued at approximately $25,053,803.55. The trade was a 11.77% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 1,922,461 shares of company stock valued at $387,385,083 over the last quarter. 3.94% of the stock is currently owned by insiders.

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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