NVIDIA Corporation (NASDAQ:NVDA) Receives Average Rating of "Buy" from Brokerages

Key Points

• NVIDIA Corporation has received an average recommendation of "Buy" from 48 analysts, with 40 recommending a buy and just one analyst providing a sell rating.
• The company's stock has recently seen a price target increase, with Benchmark raising it to $220 and TD Cowen setting it at $235.
• NVIDIA reported earnings of $1.05 per share for the quarter, exceeding estimates and reflecting a 55.6% year-over-year revenue increase to $46.74 billion.

NVIDIA Corporation (NASDAQ:NVDA - Get Free Report) has been given an average recommendation of "Buy" by the forty-eight analysts that are currently covering the firm, Marketbeat reports. One equities research analyst has rated the stock with a sell recommendation, two have given a hold recommendation, forty have given a buy recommendation and five have given a strong buy recommendation to the company. The average 1 year target price among analysts that have issued a report on the stock in the last year is $222.2308.

Several research firms recently commented on NVDA. Benchmark raised their target price on NVIDIA from $190.00 to $220.00 and gave the company a "buy" rating in a research report on Thursday, August 28th. TD Cowen lifted their price target on NVIDIA from $140.00 to $235.00 and gave the company a "buy" rating in a research report on Tuesday, August 19th. Wedbush reiterated an "outperform" rating and set a $210.00 price target on shares of NVIDIA in a research report on Thursday, August 28th. Truist Financial lifted their price target on NVIDIA from $210.00 to $228.00 and gave the company a "buy" rating in a research report on Thursday, August 28th. Finally, S&P Equity Research reiterated a "positive" rating on shares of NVIDIA in a research report on Wednesday.

NVIDIA Stock Up 2.3%

NVDA opened at $186.26 on Friday. NVIDIA has a 12 month low of $86.62 and a 12 month high of $195.62. The company has a debt-to-equity ratio of 0.08, a current ratio of 4.21 and a quick ratio of 3.60. The stock has a market cap of $4.53 trillion, a P/E ratio of 53.07, a P/E/G ratio of 1.31 and a beta of 2.12. The stock's 50 day moving average price is $179.46 and its 200 day moving average price is $155.82.

NVIDIA (NASDAQ:NVDA - Get Free Report) last posted its earnings results on Wednesday, August 27th. The computer hardware maker reported $1.05 EPS for the quarter, beating the consensus estimate of $1.01 by $0.04. NVIDIA had a return on equity of 101.74% and a net margin of 52.41%.The firm had revenue of $46.74 billion for the quarter, compared to analysts' expectations of $45.65 billion. During the same period last year, the firm earned $0.68 EPS. The firm's revenue was up 55.6% compared to the same quarter last year. NVIDIA has set its Q3 2026 guidance at EPS. As a group, research analysts predict that NVIDIA will post 2.77 earnings per share for the current year.

NVIDIA Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, October 2nd. Stockholders of record on Thursday, September 11th were given a dividend of $0.01 per share. The ex-dividend date was Thursday, September 11th. This represents a $0.04 annualized dividend and a dividend yield of 0.0%. NVIDIA's dividend payout ratio (DPR) is 1.14%.

Insider Activity

In other news, CEO Jen Hsun Huang sold 75,000 shares of the firm's stock in a transaction on Monday, August 4th. The stock was sold at an average price of $178.16, for a total transaction of $13,362,000.00. Following the completion of the sale, the chief executive officer directly owned 73,523,225 shares of the company's stock, valued at $13,098,897,766. This trade represents a 0.10% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Mark A. Stevens sold 350,000 shares of the firm's stock in a transaction on Friday, September 19th. The stock was sold at an average price of $176.39, for a total value of $61,736,500.00. Following the sale, the director directly owned 7,399,803 shares of the company's stock, valued at approximately $1,305,251,251.17. This represents a 4.52% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 3,801,577 shares of company stock worth $678,643,875. 4.17% of the stock is owned by company insiders.

Institutional Investors Weigh In On NVIDIA

Several large investors have recently modified their holdings of NVDA. Harbor Asset Planning Inc. bought a new stake in shares of NVIDIA during the 2nd quarter worth $28,000. Winnow Wealth LLC acquired a new stake in shares of NVIDIA in the second quarter worth $32,000. Longfellow Investment Management Co. LLC boosted its position in shares of NVIDIA by 47.9% in the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker's stock worth $33,000 after buying an additional 67 shares during the period. Spurstone Advisory Services LLC acquired a new stake in shares of NVIDIA in the second quarter worth $40,000. Finally, Kathleen S. Wright Associates Inc. boosted its position in shares of NVIDIA by 169.3% in the first quarter. Kathleen S. Wright Associates Inc. now owns 404 shares of the computer hardware maker's stock worth $44,000 after buying an additional 254 shares during the period. 65.27% of the stock is owned by institutional investors.

About NVIDIA

NVIDIA Corporation provides graphics and compute and networking solutions in the United States, Taiwan, China, Hong Kong, and internationally. The Graphics segment offers GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU or vGPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems; and Omniverse software for building and operating metaverse and 3D internet applications.

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