Yelin Lapidot Holdings Management Ltd. Trims Stock Position in NVIDIA Corporation $NVDA

Key Points

• Yelin Lapidot Holdings Management cut its NVIDIA position by 16.7% in the second quarter, selling 3,012 shares and retaining 15,054 shares valued at approximately $3.0 million. Hedge funds and other institutions still own 65.27% of NVIDIA.
• NVIDIA reported strong quarterly results, with revenue up 105.9% year over year to $96.22 billion and EPS of $2.22, exceeding analyst expectations. The company also declared a quarterly dividend of $0.25 per share.
• Wall Street remains bullish, with the stock carrying a consensus “Buy” rating and an average price target of $324.34 versus a recent price of $222.27. Investors nevertheless face risks from elevated valuation, potential AI-spending slowdowns, rising memory costs and growing competition.

Yelin Lapidot Holdings Management Ltd. cut its holdings in NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 16.7% during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 15,054 shares of the computer hardware maker's stock after selling 3,012 shares during the quarter. Yelin Lapidot Holdings Management Ltd.'s holdings in NVIDIA were worth $3,012,000 at the end of the most recent quarter.

A number of other hedge funds have also modified their holdings of the business. Defender Capital LLC. grew its holdings in NVIDIA by 0.7% during the 2nd quarter. Defender Capital LLC. now owns 7,534 shares of the computer hardware maker's stock valued at $1,507,000 after buying an additional 50 shares during the last quarter. Kooman & Associates lifted its position in shares of NVIDIA by 0.6% in the second quarter. Kooman & Associates now owns 8,464 shares of the computer hardware maker's stock valued at $1,694,000 after acquiring an additional 50 shares in the last quarter. Roof Eidam Maycock Peralta LLC boosted its stake in shares of NVIDIA by 0.3% during the second quarter. Roof Eidam Maycock Peralta LLC now owns 18,827 shares of the computer hardware maker's stock valued at $3,767,000 after acquiring an additional 50 shares during the last quarter. Spectrum Financial Alliance Ltd LLC boosted its stake in shares of NVIDIA by 3.8% during the first quarter. Spectrum Financial Alliance Ltd LLC now owns 1,395 shares of the computer hardware maker's stock valued at $243,000 after acquiring an additional 51 shares during the last quarter. Finally, PFS Partners LLC increased its position in NVIDIA by 1.2% during the 2nd quarter. PFS Partners LLC now owns 4,375 shares of the computer hardware maker's stock worth $875,000 after purchasing an additional 51 shares in the last quarter. 65.27% of the stock is owned by hedge funds and other institutional investors.

NVIDIA Stock Performance

NASDAQ:NVDA opened at $222.27 on Friday. The company has a market cap of $5.36 trillion, a P/E ratio of 28.10, a P/E/G ratio of 1.72 and a beta of 2.22. The firm's 50 day moving average is $214.66 and its two-hundred day moving average is $204.29. NVIDIA Corporation has a fifty-two week low of $164.27 and a fifty-two week high of $236.54. The company has a quick ratio of 3.85, a current ratio of 4.59 and a debt-to-equity ratio of 0.14.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released its quarterly earnings data on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, topping analysts' consensus estimates of $2.09 by $0.13. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%.The business had revenue of $96.22 billion during the quarter, compared to the consensus estimate of $92.27 billion. During the same period in the prior year, the firm posted $1.05 EPS. The business's revenue for the quarter was up 105.9% on a year-over-year basis. Analysts expect that NVIDIA Corporation will post 9.25 EPS for the current year.

NVIDIA Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th will be issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date is Thursday, September 10th. NVIDIA's dividend payout ratio (DPR) is 12.64%.

Wall Street Analyst Weigh In

A number of research firms have issued reports on NVDA. Oppenheimer set a $315.00 target price on shares of NVIDIA and gave the company an "outperform" rating in a report on Thursday, August 27th. BMO Capital Markets set a $340.00 price objective on shares of NVIDIA and gave the company an "outperform" rating in a research report on Thursday, August 20th. Morgan Stanley set a $300.00 price objective on shares of NVIDIA and gave the company an "overweight" rating in a research note on Thursday, August 27th. Needham & Company LLC reaffirmed a "buy" rating and issued a $300.00 target price on shares of NVIDIA in a research note on Friday, September 4th. Finally, Wedbush boosted their price target on NVIDIA from $330.00 to $345.00 and gave the company an "outperform" rating in a report on Thursday, August 27th. Three research analysts have rated the stock with a Strong Buy rating, fifty have assigned a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Buy" and an average price target of $324.34.

NVIDIA News Summary

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: CEO Jensen Huang said NVIDIA expects to sell roughly twice as many chips next year, reinforcing expectations that hyperscaler spending on AI data centers remains strong. The forecast includes demand for GPUs, CPUs, networking equipment and complete server racks. Nvidia Chip Sales Could Double Next Year, CEO Jensen Huang Says
• Positive Sentiment: Analysts and market commentators increasingly view NVIDIA as attractively valued relative to its growth. Its scale, diversified AI exposure, high profitability and lower forward valuation multiple give it an advantage over peers such as Credo, while some estimates suggest revenue growth could remain near 70% in fiscal 2028. Credo vs. NVIDIA After Earnings
• Positive Sentiment: AI infrastructure demand is expanding beyond processors into high-bandwidth memory and optical networking. NVIDIA has identified memory and silicon photonics as potential bottlenecks and has committed capital and purchase agreements involving suppliers such as Coherent and Lumentum, signaling sustained demand throughout its supply chain.
• Positive Sentiment: New ecosystem activity supports NVIDIA’s long-term growth narrative. Cloud partner CoreWeave is deploying next-generation Vera Rubin clusters, while NVIDIA-backed Nscale filed for a U.S. IPO. NVIDIA technology is also being used in autonomous trading systems, quantum-computing research and planned enterprise augmented-reality products.
• Neutral Sentiment: Speculative initiatives, including potential orbital data centers with SpaceX and NVIDIA’s quantum-computing software, could create future demand but are unlikely to materially affect near-term revenue.
• Negative Sentiment: Investors remain alert to competition from Huawei’s planned 2027 Ascend chips, possible AI-spending deceleration, rising memory costs that could pressure gross margins, and the effects of higher interest rates. The stock’s elevated valuation and dependence on continued hyperscaler capital expenditure also leave it sensitive to disappointing guidance.

Insider Transactions at NVIDIA

In other news, EVP Timothy Teter sold 30,000 shares of NVIDIA stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $217.88, for a total value of $6,536,400.00. Following the transaction, the executive vice president directly owned 2,687,660 shares of the company's stock, valued at $585,587,360.80. The trade was a 1.10% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Colette Kress sold 34,918 shares of the business's stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $219.05, for a total value of $7,648,787.90. Following the sale, the chief financial officer owned 765,103 shares of the company's stock, valued at $167,595,812.15. The trade was a 4.36% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 1,735,658 shares of company stock worth $392,663,865 in the last three months. 3.94% of the stock is currently owned by company insiders.

NVIDIA Company Profile

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company's offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.

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