NVIDIA (NASDAQ:NVDA) Reaches New 1-Year High - Here's Why

Key Points

• NVIDIA's stock reached a new 52-week high of $174.72, reflecting strong investor interest with a trading volume of over 40 million shares.
• Analysts remain optimistic, with a consensus rating of "Moderate Buy" and a price target of approximately $181.22.
• The company reported a 69.2% year-over-year increase in revenue, totaling $44.06 billion, despite a slight miss on EPS estimates.
• NVIDIA declared a quarterly dividend of $0.01 per share, indicating a low yield of 0.02% and a minimal dividend payout ratio of 1.29%.

NVIDIA Corporation (NASDAQ:NVDA - Get Free Report)'s stock price reached a new 52-week high during mid-day trading on Friday . The stock traded as high as $174.72 and last traded at $174.24, with a volume of 40334200 shares. The stock had previously closed at $173.74.

Analyst Ratings Changes

Several research analysts have issued reports on NVDA shares. Oppenheimer increased their price objective on NVIDIA from $175.00 to $200.00 and gave the stock an "outperform" rating in a research report on Tuesday, July 15th. Benchmark reiterated a "buy" rating and issued a $190.00 price objective on shares of NVIDIA in a research note on Thursday, May 29th. Seaport Res Ptn upgraded shares of NVIDIA to a "strong sell" rating in a research note on Wednesday, April 30th. Cantor Fitzgerald reiterated an "overweight" rating and issued a $200.00 price objective on shares of NVIDIA in a research note on Wednesday, April 16th. Finally, UBS Group restated a "buy" rating on shares of NVIDIA in a research report on Friday, May 23rd. One equities research analyst has rated the stock with a sell rating, four have assigned a hold rating, thirty-three have issued a buy rating and four have given a strong buy rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $181.22.

NVIDIA Trading Up 0.4%

The company has a quick ratio of 2.96, a current ratio of 3.39 and a debt-to-equity ratio of 0.10. The firm's 50 day simple moving average is $150.19 and its 200-day simple moving average is $130.70. The company has a market capitalization of $4.26 trillion, a PE ratio of 56.28, a P/E/G ratio of 1.50 and a beta of 2.13.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released its quarterly earnings results on Wednesday, May 28th. The computer hardware maker reported $0.81 EPS for the quarter, missing the consensus estimate of $0.87 by ($0.06). The company had revenue of $44.06 billion for the quarter, compared to analyst estimates of $43.09 billion. NVIDIA had a return on equity of 105.09% and a net margin of 51.69%. The business's revenue was up 69.2% on a year-over-year basis. During the same period last year, the firm posted $0.61 earnings per share. As a group, equities research analysts anticipate that NVIDIA Corporation will post 2.77 EPS for the current year.

NVIDIA Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, July 3rd. Investors of record on Wednesday, June 11th were given a dividend of $0.01 per share. This represents a $0.04 annualized dividend and a yield of 0.02%. The ex-dividend date of this dividend was Wednesday, June 11th. NVIDIA's dividend payout ratio (DPR) is presently 1.29%.

Insider Buying and Selling

In related news, CEO Jen Hsun Huang sold 75,000 shares of the business's stock in a transaction that occurred on Wednesday, June 25th. The stock was sold at an average price of $152.54, for a total transaction of $11,440,500.00. Following the transaction, the chief executive officer directly owned 75,548,225 shares of the company's stock, valued at approximately $11,524,126,241.50. The trade was a 0.10% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, EVP Ajay K. Puri sold 168,195 shares of the business's stock in a transaction that occurred on Wednesday, June 25th. The stock was sold at an average price of $152.64, for a total value of $25,673,284.80. Following the transaction, the executive vice president directly owned 4,018,547 shares in the company, valued at $613,391,014.08. This trade represents a 4.02% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 5,114,800 shares of company stock valued at $760,553,003. Insiders own 4.17% of the company's stock.

Hedge Funds Weigh In On NVIDIA

Institutional investors have recently made changes to their positions in the business. Tacita Capital Inc acquired a new stake in shares of NVIDIA during the 4th quarter valued at approximately $28,000. Vision Financial Markets LLC acquired a new stake in shares of NVIDIA during the 4th quarter valued at approximately $38,000. Legend Financial Advisors Inc. acquired a new stake in shares of NVIDIA during the 2nd quarter valued at approximately $55,000. Copia Wealth Management acquired a new stake in shares of NVIDIA during the 4th quarter valued at approximately $50,000. Finally, LSV Asset Management acquired a new stake in shares of NVIDIA during the 4th quarter valued at approximately $54,000. 65.27% of the stock is owned by institutional investors and hedge funds.

NVIDIA Company Profile

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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