NVIDIA (NASDAQ:NVDA) Shares Up 3.5% on Analyst Upgrade

Key Points

• NVIDIA shares rose by 3.5% following an analyst upgrade from New Street Research, which raised its price target from $200 to $235.
• Several analysts have given NVIDIA positive ratings, with targets ranging from $205 to $240, indicating a strong overall outlook on the stock.
• The company reported a 55.6% increase in revenue year-over-year, with earnings per share of $1.05, surpassing analysts' expectations.

NVIDIA Corporation (NASDAQ:NVDA - Get Free Report)'s share price traded up 3.5% on Thursday after New Street Research raised their price target on the stock from $200.00 to $235.00. New Street Research currently has a buy rating on the stock. NVIDIA traded as high as $177.10 and last traded at $176.24. 190,075,420 shares changed hands during trading, a decline of 19% from the average session volume of 234,607,750 shares. The stock had previously closed at $170.29.

Several other analysts have also recently commented on NVDA. Cantor Fitzgerald reissued an "overweight" rating and issued a $240.00 price target on shares of NVIDIA in a report on Thursday, August 28th. Robert W. Baird lifted their price objective on NVIDIA from $195.00 to $225.00 and gave the stock an "outperform" rating in a report on Monday, August 25th. Jefferies Financial Group lifted their price objective on NVIDIA from $200.00 to $205.00 and gave the stock a "buy" rating in a report on Thursday, August 28th. Sanford C. Bernstein reaffirmed an "outperform" rating and set a $225.00 price objective (up from $185.00) on shares of NVIDIA in a report on Thursday, August 28th. Finally, Wedbush reissued an "outperform" rating and set a $210.00 price target on shares of NVIDIA in a research report on Thursday, August 28th. Four investment analysts have rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, NVIDIA has an average rating of "Moderate Buy" and an average target price of $208.47.

Insiders Place Their Bets

In other NVIDIA news, Director Mark A. Stevens sold 297,797 shares of the business's stock in a transaction dated Friday, September 12th. The stock was sold at an average price of $178.19, for a total transaction of $53,064,447.43. Following the transaction, the director owned 7,749,803 shares in the company, valued at $1,380,937,396.57. The trade was a 3.70% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO Jen Hsun Huang sold 75,000 shares of the business's stock in a transaction dated Wednesday, June 25th. The stock was sold at an average price of $152.54, for a total value of $11,440,500.00. Following the completion of the transaction, the chief executive officer owned 75,548,225 shares in the company, valued at approximately $11,524,126,241.50. This trade represents a 0.10% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 3,975,304 shares of company stock worth $665,001,763 over the last quarter. 4.17% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the business. Harbor Asset Planning Inc. acquired a new stake in NVIDIA during the second quarter valued at approximately $28,000. Winnow Wealth LLC acquired a new stake in NVIDIA during the second quarter valued at approximately $32,000. Longfellow Investment Management Co. LLC raised its stake in NVIDIA by 47.9% during the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker's stock valued at $33,000 after buying an additional 67 shares in the last quarter. Spurstone Advisory Services LLC acquired a new stake in NVIDIA during the second quarter valued at approximately $40,000. Finally, Kathleen S. Wright Associates Inc. raised its stake in NVIDIA by 169.3% during the first quarter. Kathleen S. Wright Associates Inc. now owns 404 shares of the computer hardware maker's stock valued at $44,000 after buying an additional 254 shares in the last quarter. Institutional investors and hedge funds own 65.27% of the company's stock.

NVIDIA Price Performance

The company has a 50 day simple moving average of $175.25 and a 200-day simple moving average of $142.59. The stock has a market cap of $4.28 trillion, a price-to-earnings ratio of 50.21, a PEG ratio of 1.26 and a beta of 2.10. The company has a quick ratio of 3.60, a current ratio of 4.21 and a debt-to-equity ratio of 0.08.

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

NVIDIA Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 2nd. Stockholders of record on Thursday, September 11th will be issued a dividend of $0.01 per share. The ex-dividend date of this dividend is Thursday, September 11th. This represents a $0.04 annualized dividend and a dividend yield of 0.0%. NVIDIA's dividend payout ratio is 1.14%.

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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