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

Key Points

• NVIDIA's shares reached a new 52-week high of $183.75, closing at $182.73 with a volume of over 33 million shares traded.
• Analysts provide a Moderate Buy rating on NVIDIA, with target prices ranging from $192.00 to $200.00 by various firms.
• The company recently announced a quarterly dividend of $0.01, reflecting a payout ratio of 1.29% amidst strong revenue growth of 69.2% year-over-year.

Shares of NVIDIA Corporation (NASDAQ:NVDA - Get Free Report) reached a new 52-week high on Thursday . The company traded as high as $183.75 and last traded at $182.73, with a volume of 33038817 shares. The stock had previously closed at $179.42.

Wall Street Analysts Forecast Growth

NVDA has been the topic of several research analyst reports. Mizuho set a $192.00 target price on shares of NVIDIA and gave the company an "outperform" rating in a research note on Tuesday, July 15th. Rosenblatt Securities raised their target price on shares of NVIDIA from $178.00 to $200.00 and gave the company a "buy" rating in a research note on Thursday, May 29th. BNP Paribas raised shares of NVIDIA to a "hold" rating in a research note on Friday, August 1st. Benchmark reissued a "buy" rating and set a $190.00 target price on shares of NVIDIA in a research note on Thursday, May 29th. Finally, UBS Group reissued a "buy" rating on shares of NVIDIA in a research note on Friday, May 23rd. One research analyst has rated the stock with a sell rating, five have assigned a hold rating, thirty-two have assigned a buy rating and four have assigned a strong buy rating to the company. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $183.75.

NVIDIA Trading Up 1.0%

The company has a current ratio of 3.39, a quick ratio of 2.96 and a debt-to-equity ratio of 0.10. The company has a market capitalization of $4.42 trillion, a P/E ratio of 58.37, a PEG ratio of 1.57 and a beta of 2.14. The business has a 50 day moving average price of $158.02 and a 200 day moving average price of $133.22.

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

NVIDIA Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, July 3rd. Investors of record on Wednesday, June 11th were given a $0.01 dividend. The ex-dividend date was Wednesday, June 11th. This represents a $0.04 annualized dividend and a dividend yield of 0.0%. NVIDIA's payout ratio is currently 1.29%.

Insiders Place Their Bets

In other NVIDIA news, EVP Ajay K. Puri sold 168,195 shares of the company'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 transaction of $25,673,284.80. Following the completion of the transaction, the executive vice president owned 4,018,547 shares of the company's stock, valued at $613,391,014.08. This represents a 4.02% 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 935,000 shares of the company's stock in a transaction that occurred on Tuesday, June 3rd. The stock was sold at an average price of $140.92, for a total value of $131,760,200.00. Following the transaction, the director directly owned 9,214,697 shares of the company's stock, valued at approximately $1,298,535,101.24. This trade represents a 9.21% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 5,537,440 shares of company stock valued at $835,035,782 over the last 90 days. 4.17% of the stock is owned by company insiders.

Hedge Funds Weigh In On NVIDIA

Large investors have recently bought and sold shares of the company. Kingstone Capital Partners Texas LLC boosted its holdings in shares of NVIDIA by 267,959.7% in the 2nd quarter. Kingstone Capital Partners Texas LLC now owns 382,373,765 shares of the computer hardware maker's stock valued at $64,976,521,000 after buying an additional 382,231,120 shares during the last quarter. Norges Bank acquired a new stake in NVIDIA during the 4th quarter valued at $43,515,504,000. Nuveen LLC bought a new position in NVIDIA during the 1st quarter worth $15,089,414,000. Goldman Sachs Group Inc. increased its position in NVIDIA by 123.5% during the 1st quarter. Goldman Sachs Group Inc. now owns 187,995,213 shares of the computer hardware maker's stock worth $20,374,921,000 after buying an additional 103,889,872 shares during the period. Finally, GAMMA Investing LLC increased its position in NVIDIA by 12,173.2% during the 1st quarter. GAMMA Investing LLC now owns 48,837,781 shares of the computer hardware maker's stock worth $5,293,039,000 after buying an additional 48,439,859 shares during the period. Institutional investors and hedge funds own 65.27% of the company's stock.

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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