NVIDIA (NASDAQ:NVDA) Stock Price Down 4.7% Following Analyst Downgrade

NVIDIA Co. (NASDAQ:NVDA - Get Free Report) shares dropped 4.7% on Wednesday after Morgan Stanley lowered their price target on the stock from $166.00 to $152.00. Morgan Stanley currently has an overweight rating on the stock. NVIDIA traded as low as $121.72 and last traded at $122.98. Approximately 135,322,529 shares changed hands during mid-day trading, a decline of 49% from the average daily volume of 267,683,500 shares. The stock had previously closed at $128.99.

Other equities research analysts have also issued research reports about the stock. Deutsche Bank Aktiengesellschaft boosted their price target on shares of NVIDIA from $115.00 to $140.00 and gave the stock a "hold" rating in a report on Thursday, November 21st. Mizuho boosted their target price on shares of NVIDIA from $165.00 to $175.00 and gave the stock an "outperform" rating in a research note on Thursday, November 21st. HSBC decreased their price target on shares of NVIDIA from $195.00 to $185.00 and set a "buy" rating on the stock in a research note on Monday, January 13th. Melius Research boosted their price objective on NVIDIA from $165.00 to $185.00 and gave the stock a "buy" rating in a research note on Monday, November 11th. Finally, The Goldman Sachs Group raised their target price on NVIDIA from $150.00 to $165.00 and gave the company a "buy" rating in a research report on Thursday, November 21st. Four analysts have rated the stock with a hold rating, thirty-eight have given a buy rating and two have assigned a strong buy rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $166.23.

Insiders Place Their Bets

In other news, EVP Ajay K. Puri sold 36,462 shares of the business's stock in a transaction dated Monday, January 6th. The stock was sold at an average price of $151.10, for a total transaction of $5,509,408.20. Following the completion of the transaction, the executive vice president now directly owns 3,902,888 shares of the company's stock, valued at approximately $589,726,376.80. The trade was a 0.93 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Tench Coxe sold 1,000,000 shares of the firm's stock in a transaction on Monday, December 16th. The shares were sold at an average price of $131.26, for a total transaction of $131,260,000.00. Following the completion of the sale, the director now owns 28,671,360 shares in the company, valued at $3,763,402,713.60. The trade was a 3.37 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 1,108,348 shares of company stock worth $146,506,958 in the last ninety days. 4.23% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On NVIDIA

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Joel Adams & Associates Inc. acquired a new position in NVIDIA in the fourth quarter valued at approximately $267,000. Global Retirement Partners LLC boosted its holdings in shares of NVIDIA by 0.8% in the 4th quarter. Global Retirement Partners LLC now owns 504,252 shares of the computer hardware maker's stock valued at $67,716,000 after buying an additional 3,777 shares in the last quarter. Cornerstone Advisors Asset Management LLC grew its position in shares of NVIDIA by 251.8% in the 4th quarter. Cornerstone Advisors Asset Management LLC now owns 8,119 shares of the computer hardware maker's stock valued at $1,090,000 after buying an additional 5,811 shares during the last quarter. Convergence Investment Partners LLC raised its stake in NVIDIA by 32.9% during the 4th quarter. Convergence Investment Partners LLC now owns 114,279 shares of the computer hardware maker's stock worth $15,347,000 after acquiring an additional 28,318 shares in the last quarter. Finally, SilverOak Wealth Management LLC lifted its position in NVIDIA by 1.8% in the fourth quarter. SilverOak Wealth Management LLC now owns 9,930 shares of the computer hardware maker's stock valued at $1,334,000 after acquiring an additional 180 shares during the last quarter. Institutional investors and hedge funds own 65.27% of the company's stock.

NVIDIA Stock Down 3.7 %

The firm's 50 day simple moving average is $136.58 and its 200-day simple moving average is $129.31. The company has a debt-to-equity ratio of 0.13, a current ratio of 4.10 and a quick ratio of 3.64. The company has a market cap of $2.94 trillion, a price-to-earnings ratio of 47.25, a P/E/G ratio of 2.23 and a beta of 1.64.

NVIDIA (NASDAQ:NVDA - Get Free Report) last released its quarterly earnings results on Wednesday, November 20th. The computer hardware maker reported $0.81 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.69 by $0.12. NVIDIA had a return on equity of 114.83% and a net margin of 55.69%. The firm had revenue of $35.08 billion for the quarter, compared to the consensus estimate of $33.15 billion. During the same quarter last year, the business posted $0.38 EPS. The firm's quarterly revenue was up 93.6% compared to the same quarter last year. As a group, sell-side analysts anticipate that NVIDIA Co. will post 2.77 earnings per share for the current year.

NVIDIA Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, December 27th. Investors of record on Thursday, December 5th were paid a dividend of $0.01 per share. This represents a $0.04 dividend on an annualized basis and a yield of 0.03%. The ex-dividend date was Thursday, December 5th. NVIDIA's dividend payout ratio is currently 1.57%.

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.