NVIDIA (NASDAQ:NVDA) Shares Up 1.3% on Better-Than-Expected Earnings

Key Points

• NVIDIA shares rose 1.3% after the company reported better-than-expected quarterly earnings, briefly trading as high as $226.13.
• The company beat analyst estimates with EPS of $1.87 versus $1.76 expected, and revenue of $81.62 billion versus the $78.42 billion consensus.
• Wall Street remains broadly bullish, with several analysts raising price targets and keeping strong-buy or buy ratings, though investors are watching guidance, margins, China access, and competition closely.

Shares of NVIDIA Corporation (NASDAQ:NVDA - Get Free Report) rose 1.3% on Wednesday after the company announced better than expected quarterly earnings. The company traded as high as $226.13 and last traded at $223.47. Approximately 160,044,008 shares were traded during trading, a decline of 6% from the average daily volume of 170,055,859 shares. The stock had previously closed at $220.61.

The computer hardware maker reported $1.87 EPS for the quarter, beating the consensus estimate of $1.76 by $0.11. NVIDIA had a net margin of 55.60% and a return on equity of 97.37%. The business had revenue of $81.62 billion during the quarter, compared to the consensus estimate of $78.42 billion.

NVIDIA Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 1st. Investors of record on Wednesday, March 11th were given a $0.01 dividend. This represents a $0.04 annualized dividend and a yield of 0.0%. The ex-dividend date was Wednesday, March 11th. NVIDIA's payout ratio is currently 0.82%.

NVIDIA News Summary

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Wall Street largely expects another earnings beat, with several reports noting Nvidia’s results could reignite the broader AI trade and lift chip stocks across the market.
• Positive Sentiment: Analysts have raised price targets and remained upbeat heading into the print, citing strong revenue growth, durable AI spending, and Nvidia’s continued leadership in data-center GPUs.
• Positive Sentiment: Options data shows traders positioning for a large post-earnings move while still leaning bullish, suggesting strong investor demand for NVDA exposure into the report.
• Neutral Sentiment: Investors are closely watching guidance, gross margins, next-generation chip timing, and China access, since these may matter more than the headline earnings beat itself.
• Neutral Sentiment: Media coverage emphasized that Nvidia’s earnings are now a market-wide event, influencing related names such as AMD, Intel, Broadcom, Marvell, CoreWeave, and Nebius.
• Negative Sentiment: Some commentary flagged elevated expectations, competition from custom AI chips, and warnings that the stock could react poorly even if results are solid because the bar is extremely high.

Analyst Upgrades and Downgrades

A number of equities analysts have commented on the stock. Zacks Research raised shares of NVIDIA from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, February 25th. Tigress Financial restated a "strong-buy" rating and set a $360.00 target price (up from $350.00) on shares of NVIDIA in a research report on Thursday, March 5th. JPMorgan Chase & Co. lifted their price target on NVIDIA from $250.00 to $265.00 and gave the stock an "overweight" rating in a research report on Thursday, February 26th. Robert W. Baird lifted their target price on NVIDIA from $275.00 to $300.00 and gave the stock an "outperform" rating in a report on Thursday, February 26th. Finally, BTIG Research started coverage on shares of NVIDIA in a research note on Wednesday, April 15th. They set a "buy" rating for the company. Four investment analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, NVIDIA presently has an average rating of "Buy" and a consensus price target of $279.06.

Insider Buying and Selling

In related news, Director Aarti S. Shah sold 19,000 shares of NVIDIA stock in a transaction that occurred on Thursday, March 19th. The shares were sold at an average price of $176.71, for a total transaction of $3,357,490.00. Following the transaction, the director directly owned 36,007 shares of the company's stock, valued at $6,362,796.97. This trade represents a 34.54% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, EVP Ajay K. Puri sold 300,000 shares of NVIDIA stock in a transaction dated Wednesday, March 18th. The shares were sold at an average price of $182.25, for a total value of $54,675,000.00. Following the completion of the transaction, the executive vice president owned 3,018,547 shares in the company, valued at $550,130,190.75. This trade represents a 9.04% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 906,336 shares of company stock valued at $162,802,518 over the last 90 days. 4.17% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in NVDA. Norges Bank acquired a new position in shares of NVIDIA in the 4th quarter valued at $62,244,133,000. J. Stern & Co. LLP lifted its position in NVIDIA by 13,709.1% during the 4th quarter. J. Stern & Co. LLP now owns 125,760,307 shares of the computer hardware maker's stock worth $23,454,297,000 after acquiring an additional 124,849,603 shares during the period. Cardano Risk Management B.V. lifted its position in NVIDIA by 896.4% during the 4th quarter. Cardano Risk Management B.V. now owns 78,123,960 shares of the computer hardware maker's stock worth $14,570,119,000 after acquiring an additional 70,283,539 shares during the period. Capital Research Global Investors grew its stake in NVIDIA by 16.1% during the 3rd quarter. Capital Research Global Investors now owns 165,377,852 shares of the computer hardware maker's stock valued at $30,855,564,000 after purchasing an additional 22,896,705 shares during the last quarter. Finally, Laurel Wealth Advisors LLC grew its stake in NVIDIA by 15,496.1% during the 2nd quarter. Laurel Wealth Advisors LLC now owns 21,865,525 shares of the computer hardware maker's stock valued at $3,454,534,000 after purchasing an additional 21,725,326 shares during the last quarter. 65.27% of the stock is currently owned by hedge funds and other institutional investors.

NVIDIA Stock Up 1.3%

The firm has a market capitalization of $5.41 trillion, a price-to-earnings ratio of 45.61, a price-to-earnings-growth ratio of 0.69 and a beta of 2.25. The company has a debt-to-equity ratio of 0.05, a current ratio of 3.91 and a quick ratio of 3.24. The business has a fifty day moving average price of $194.00 and a two-hundred day moving average price of $188.61.

About NVIDIA

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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