NVIDIA (NASDAQ:NVDA) Stock Price Up 4.1% - What's Next?

Key Points

• NVIDIA shares rose 4.1% on Tuesday, trading as high as $212.55 after closing at $203.53 the prior session. Trading volume was lighter than usual, with about 123.0 million shares changing hands.
• Analyst sentiment remained mostly bullish: KeyBanc raised its price target to $330 and Zacks upgraded the stock to Buy, while several other firms also lifted targets. MarketBeat says the consensus rating is Moderate Buy, with an average target of $304.26.
• Fundamentals and growth catalysts continue to support the stock, as NVIDIA recently beat earnings and revenue estimates and unveiled a $80 billion share buyback. Reports also pointed to expanding AI partnerships and some reopening of the China market for H200 chip sales, though near-term China revenue may still be limited.

NVIDIA Corporation (NASDAQ:NVDA - Get Free Report) shares traded up 4.1% on Tuesday . The stock traded as high as $212.55 and last traded at $211.80. Approximately 123,019,755 shares changed hands during mid-day trading, a decline of 27% from the average session volume of 167,531,250 shares. The stock had previously closed at $203.53.

Trending Headlines about NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: KeyBanc raised its price target on NVIDIA to $330 from $310 and kept an Overweight rating, reinforcing the bullish case for the AI chip leader. Wall Street analyst updates Nvidia stock price target
• Positive Sentiment: Zacks upgraded NVIDIA to Rank #2 (Buy), citing improving earnings prospects and near-term upside potential. Nvidia (NVDA) Upgraded to Buy: Here's What You Should Know
• Positive Sentiment: Multiple reports highlighted NVIDIA’s expanding AI partnerships across cloud, networking, autos, and telecom, suggesting its ecosystem is still growing even as rivals invest heavily in AI. NVIDIA's AI Partnerships Expand: Can This Keep NVDA Ahead of Rivals?
• Positive Sentiment: Reuters reported that Chinese firms, including a ZTE unit, were licensed to buy NVIDIA H200 chips, indicating a partial reopening of the China market after tighter restrictions. ZTE among Chinese firms licensed to purchase Nvidia's H200 chips, documents show
• Neutral Sentiment: U.S. officials said only a very small number of NVIDIA H200 chips have actually shipped to China so far, so the near-term revenue benefit from the China comeback may be limited. US official says shipments of H200 chips to China have begun
• Neutral Sentiment: Commentary around NVIDIA remains broadly constructive, with articles arguing the stock still has long-term AI upside from data center demand, Vera Rubin, and continued capex spending, but also noting that expectations are already high. Nvidia Faces 'Slight Delay' in Rubin Chip Rollout. What It Means for the Stock.
• Negative Sentiment: Some reports warned that China-related controls and competition from custom AI silicon could cap upside, even though NVIDIA still leads the AI chip market. Nvidia halves Asia buyer list in China chip crackdown, FT reports

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on the company. Wall Street Zen cut NVIDIA from a "strong-buy" rating to a "buy" rating in a report on Saturday, July 4th. Wedbush upped their target price on NVIDIA from $300.00 to $330.00 and gave the company an "outperform" rating in a research note on Thursday, May 21st. Mizuho set a $300.00 target price on NVIDIA in a research report on Thursday, May 21st. Bank of America reissued a "buy" rating and issued a $350.00 price target (up from $320.00) on shares of NVIDIA in a research note on Thursday, May 21st. Finally, Craig Hallum lifted their price target on NVIDIA from $245.00 to $275.00 and gave the company a "buy" rating in a report on Thursday, May 21st. Two research analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, NVIDIA presently has an average rating of "Moderate Buy" and a consensus price target of $304.26.

NVIDIA Trading Up 4.1%

The company has a quick ratio of 2.85, a current ratio of 3.44 and a debt-to-equity ratio of 0.04. The firm's 50 day simple moving average is $209.57 and its 200-day simple moving average is $194.60. The company has a market capitalization of $5.13 trillion, a PE ratio of 32.43, a P/E/G ratio of 0.46 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, beating analysts' consensus estimates of $1.76 by $0.11. The business had revenue of $81.61 billion for the quarter, compared to the consensus estimate of $78.42 billion. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The business's revenue for the quarter was up 85.2% compared to the same quarter last year. During the same quarter last year, the firm posted $0.81 EPS. As a group, equities research analysts anticipate that NVIDIA Corporation will post 8.8 EPS for the current year.

NVIDIA Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, June 26th. Shareholders of record on Thursday, June 4th were given a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 0.5%. This is a boost from NVIDIA's previous quarterly dividend of $0.01. The ex-dividend date of this dividend was Thursday, June 4th. NVIDIA's dividend payout ratio is 15.31%.

NVIDIA declared that its Board of Directors has approved a share buyback 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 buy up to 1.5% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's board of directors believes its stock is undervalued.

Insider Transactions at NVIDIA

In related news, Director John Dabiri sold 625 shares of the firm's stock in a transaction dated Wednesday, May 27th. The stock was sold at an average price of $214.00, for a total transaction of $133,750.00. Following the sale, the director directly owned 14,163 shares in the company, valued at approximately $3,030,882. This trade represents a 4.23% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark A. Stevens sold 885,000 shares of the business's stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $210.17, for a total value of $186,000,450.00. Following the transaction, the director directly owned 5,207,271 shares in the company, valued at $1,094,412,146.07. This trade represents a 14.53% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 1,901,125 shares of company stock valued at $410,583,015 over the last quarter. Company insiders own 3.94% of the company's stock.

Institutional Trading of NVIDIA

A number of hedge funds have recently made changes to their positions in the company. Brighton Jones LLC grew its stake in NVIDIA by 12.4% during the 4th quarter. Brighton Jones LLC now owns 324,901 shares of the computer hardware maker's stock valued at $43,631,000 after purchasing an additional 35,815 shares in the last quarter. Bank Pictet & Cie Europe AG boosted its stake in shares of NVIDIA by 1.0% during the 4th quarter. Bank Pictet & Cie Europe AG now owns 2,346,417 shares of the computer hardware maker's stock valued at $315,100,000 after buying an additional 22,929 shares during the last quarter. Highview Capital Management LLC DE grew its position in shares of NVIDIA by 6.7% during 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 buying an additional 3,653 shares in the last quarter. Hudson Value Partners LLC grew 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 worth $6,805,000 after buying an additional 11,900 shares in the last quarter. Finally, Wealth Group Ltd. increased its stake in shares of NVIDIA by 15.7% in the first quarter. Wealth Group Ltd. now owns 6,598 shares of the computer hardware maker's stock worth $715,000 after buying an additional 896 shares during the last quarter. 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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