NVIDIA (NASDAQ:NVDA) Stock Price Up 1.3% - Should You Buy?

Key Points

• NVIDIA's stock price increased by 1.3%, closing at $183.12, with a significant decline in trading volume at 42.36 million shares compared to the average of 244.75 million.
• Analyst ratings show a strong consensus on NVIDIA, with 32 buy ratings and a target price boost from multiple firms, including a rise to $220.00 by Bank of America.
• The company reported earnings of $0.81 EPS, missing estimates of $0.87 EPS, but revenues rose by 69.2% year-over-year, reaching $44.06 billion.

Shares of NVIDIA Corporation (NASDAQ:NVDA - Get Free Report) were up 1.3% during mid-day trading on Friday . The company traded as high as $182.77 and last traded at $183.12. Approximately 42,364,939 shares changed hands during mid-day trading, a decline of 83% from the average daily volume of 244,745,438 shares. The stock had previously closed at $180.77.

Analyst Ratings Changes

NVDA has been the topic of several recent analyst reports. Seaport Res Ptn raised NVIDIA to a "strong sell" rating in a research note on Wednesday, April 30th. UBS Group reiterated a "buy" rating on shares of NVIDIA in a research note on Friday, May 23rd. Oppenheimer raised their price objective on shares of NVIDIA from $175.00 to $200.00 and gave the company an "outperform" rating in a research report on Tuesday, July 15th. Morgan Stanley increased their target price on NVIDIA from $170.00 to $200.00 and gave the company an "overweight" rating in a report on Wednesday, July 30th. Finally, Bank of America boosted their price objective on shares of NVIDIA from $180.00 to $220.00 in a research note on Wednesday, July 16th. One research analyst has rated the stock with a sell rating, five have assigned a hold rating, thirty-two have issued a buy rating and four have issued a strong buy rating to the stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $183.75.

NVIDIA Trading Up 1.0%

The business has a 50 day moving average of $158.85 and a 200 day moving average of $133.52. The firm has a market cap of $4.45 trillion, a price-to-earnings ratio of 58.85, a price-to-earnings-growth ratio of 1.58 and a beta of 2.14. The company has a quick ratio of 2.96, a current ratio of 3.39 and a debt-to-equity ratio of 0.10.

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

NVIDIA Announces Dividend

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

Insider Transactions at NVIDIA

In other NVIDIA news, EVP Ajay K. Puri sold 168,195 shares of the business's stock in a transaction dated Wednesday, June 25th. The shares were sold at an average price of $152.64, for a total value of $25,673,284.80. Following the sale, the executive vice president directly owned 4,018,547 shares in the company, valued at approximately $613,391,014.08. The trade was a 4.02% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Mark A. Stevens sold 935,000 shares of NVIDIA stock in a transaction that occurred on Tuesday, June 3rd. The stock was sold at an average price of $140.92, for a total transaction of $131,760,200.00. Following the completion of the transaction, the director directly owned 9,214,697 shares in the company, valued at approximately $1,298,535,101.24. This trade represents a 9.21% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 5,537,440 shares of company stock valued at $835,035,782. Company insiders own 4.17% of the company's stock.

Institutional Trading of NVIDIA

A number of large investors have recently bought and sold shares of the business. Wealth Group Ltd. grew its stake in shares of NVIDIA by 1.8% in the fourth quarter. Wealth Group Ltd. now owns 5,702 shares of the computer hardware maker's stock worth $766,000 after purchasing an additional 100 shares during the last quarter. Brighton Jones LLC lifted its stake in shares of NVIDIA by 12.4% in the fourth quarter. Brighton Jones LLC now owns 324,901 shares of the computer hardware maker's stock worth $43,631,000 after buying an additional 35,815 shares in the last quarter. Bank Pictet & Cie Europe AG boosted its holdings in shares of NVIDIA by 1.0% in the fourth quarter. Bank Pictet & Cie Europe AG now owns 2,346,417 shares of the computer hardware maker's stock worth $315,100,000 after buying an additional 22,929 shares during the last quarter. Highview Capital Management LLC DE boosted its position in shares of NVIDIA by 6.7% in the fourth quarter. Highview Capital Management LLC DE now owns 58,396 shares of the computer hardware maker's stock worth $7,842,000 after purchasing an additional 3,653 shares during the period. Finally, Hudson Value Partners LLC raised its position in shares of NVIDIA by 30.7% during the fourth quarter. Hudson Value Partners LLC now owns 50,658 shares of the computer hardware maker's stock valued at $6,805,000 after buying an additional 11,900 shares during the last quarter. 65.27% of the stock is owned by institutional investors.

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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