NVIDIA (NASDAQ:NVDA) Shares Up 2.3% - Time to Buy?

Key Points

• NVIDIA shares rose 2.3% in midday trading, briefly touching $214.39 before ending near $212.06, on volume below its daily average.
• The company is drawing bullish attention for expanding beyond GPUs into the broader AI data-center stack, highlighted by its Vera CPU and Spectrum-6 Ethernet platform; Bank of America kept a Buy rating and $350 target.
• Wall Street remains upbeat overall, with analysts assigning NVIDIA a consensus Buy and an average price target of $304.26, while the company also reported strong quarterly results, raised its dividend, and authorized an $80 billion buyback.

NVIDIA Corporation (NASDAQ:NVDA - Get Free Report) shares traded up 2.3% during mid-day trading on Wednesday . The company traded as high as $214.39 and last traded at $212.06. 135,414,362 shares traded hands during trading, a decline of 18% from the average daily volume of 165,682,625 shares. The stock had previously closed at $207.29.

Trending Headlines about NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA unveiled more detail on its Vera CPU and Spectrum-6 Ethernet platform, reinforcing its push beyond GPUs into the full AI data-center stack and keeping it central to the AI infrastructure debate. Nvidia details its next-generation Vera CPU for AI, setting up challenge to AMD and Intel
• Positive Sentiment: Bank of America reiterated a Buy rating and a $350 price target, saying NVIDIA’s Vera launch could help define the next phase of AI infrastructure spending and expand the server CPU opportunity through 2030. BofA sees server CPU TAM hitting $170bn by 2030 as NVIDIA takes on AMD
• Positive Sentiment: NVIDIA’s recent stake in Nebius and related AI-cloud partnerships are being viewed as evidence that the company is helping finance downstream AI buildouts, which could support future chip demand. Nvidia supplier Wistron launches $700 million Texas factory for AI system production
• Positive Sentiment: Commentary from high-profile investors and strategists, including Jim Cramer saying NVIDIA is “on fire,” has added to the bullish sentiment around the stock. Jim Cramer says Nvidia stock ‘is on fire'
• Positive Sentiment: Several articles argue NVIDIA still looks attractively valued relative to its growth, with analysts and commentators saying the market may be underestimating its long-term earnings power. NVIDIA vs. AMD: Which AI Chip Stock Is the Better Buy Now?
• Neutral Sentiment: Some coverage focused on NVIDIA’s competitive battle with AMD and Intel, but this mainly underscores that investors are watching for proof of sustained leadership rather than signaling a clear negative catalyst. Nvidia highlights Vera CPU strategy as AI infrastructure debate evolves
• Negative Sentiment: Broader chip-sector weakness and worries about valuation, competition, and lower-cost AI alternatives have created some pressure on semiconductor names, including NVIDIA. INTC, AMD, MU, NVDA: Chip Stocks Tumble Again, Stalling A Nascent Rebound
• Negative Sentiment: Some investors are also questioning whether NVIDIA’s growth has already peaked, with articles pointing to recent volatility and rivalry from AMD and other AI infrastructure plays. AMD Just Landed a $5 Billion AI Coup — Is Nvidia’s Grip Finally Starting to Slip?

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on NVDA shares. Cantor Fitzgerald restated an "overweight" rating and issued a $350.00 price objective on shares of NVIDIA in a research report on Thursday, May 21st. Zacks Research raised shares of NVIDIA from a "hold" rating to a "strong-buy" rating in a research note on Monday. TD Cowen reissued a "buy" rating and issued a $275.00 price target (up from $235.00) on shares of NVIDIA in a report on Friday, May 15th. Tigress Financial restated a "strong-buy" rating and set a $425.00 price objective (up from $360.00) on shares of NVIDIA in a research report on Wednesday, May 27th. Finally, Mizuho set a $300.00 target price on shares of NVIDIA in a research report on Thursday, May 21st. Three equities research analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Buy" and an average target price of $304.26.

NVIDIA Stock Up 2.3%

The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.85 and a current ratio of 3.44. The stock's 50 day moving average price is $209.04 and its 200-day moving average price is $195.41. The company has a market cap of $5.13 trillion, a PE ratio of 32.47, a PEG ratio of 0.45 and a beta of 2.21.

NVIDIA (NASDAQ:NVDA - Get Free Report) last issued its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, topping analysts' consensus estimates of $1.76 by $0.11. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The company had revenue of $81.61 billion for the quarter, compared to analysts' expectations of $78.42 billion. During the same quarter last year, the company earned $0.81 EPS. The firm's revenue was up 85.2% compared to the same quarter last year. On average, analysts predict that NVIDIA Corporation will post 8.79 earnings per share for the current year.

NVIDIA Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were issued a $0.25 dividend. This is an increase from NVIDIA's previous quarterly dividend of $0.01. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. The ex-dividend date was Thursday, June 4th. NVIDIA's dividend payout ratio (DPR) is presently 15.31%.

NVIDIA declared that its board has initiated a stock repurchase program on Wednesday, May 20th that authorizes the company to buyback $80.00 billion in outstanding shares. This buyback authorization authorizes the computer hardware maker to purchase up to 1.5% of its stock through open market purchases. Stock buyback programs are generally an indication that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling at NVIDIA

In other NVIDIA news, Director Stephen C. Neal sold 15,500 shares of the business's stock in a transaction that occurred on Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total value of $3,343,815.00. Following the completion of the sale, the director owned 116,135 shares in the company, valued at approximately $25,053,803.55. The trade was a 11.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Mark A. Stevens sold 885,000 shares of the stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $210.17, for a total value of $186,000,450.00. Following the sale, the director directly owned 5,207,271 shares of the company's stock, valued at approximately $1,094,412,146.07. This trade represents a 14.53% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 1,901,125 shares of company stock worth $410,583,015. 3.94% of the stock is currently owned by insiders.

Hedge Funds Weigh In On NVIDIA

A number of hedge funds have recently modified their holdings of NVDA. State Street Corp increased its stake in shares of NVIDIA by 1.2% during the fourth quarter. State Street Corp now owns 991,480,489 shares of the computer hardware maker's stock valued at $184,911,111,000 after buying an additional 11,451,386 shares during the period. Geode Capital Management LLC lifted its stake in NVIDIA by 0.6% in the fourth quarter. Geode Capital Management LLC now owns 588,803,093 shares of the computer hardware maker's stock worth $109,446,217,000 after acquiring an additional 3,383,441 shares during the period. Norges Bank bought a new stake in NVIDIA in the fourth quarter valued at $62,244,133,000. Bank of America Corp DE increased its position in NVIDIA by 2.1% during the 1st quarter. Bank of America Corp DE now owns 191,200,989 shares of the computer hardware maker's stock valued at $33,345,453,000 after purchasing an additional 4,019,505 shares during the period. Finally, Legal & General Group Plc increased its position in NVIDIA by 1.5% during the 3rd quarter. Legal & General Group Plc now owns 181,203,035 shares of the computer hardware maker's stock valued at $33,808,862,000 after purchasing an additional 2,609,560 shares during the period. Hedge funds and other institutional investors own 65.27% of the company's stock.

NVIDIA Company Profile

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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