NVIDIA (NASDAQ:NVDA) Shares Down 1.4% After Insider Selling

NVIDIA Co. (NASDAQ:NVDA) traded down 1.4% during trading on Friday following insider selling activity. The company traded as low as $135.43 and last traded at $135.46. 60,977,960 shares traded hands during trading, a decline of 84% from the average session volume of 384,769,031 shares. The stock had previously closed at $137.34.

Specifically, insider Donald F. Robertson, Jr. sold 4,500 shares of the stock in a transaction on Friday, December 13th. The stock was sold at an average price of $135.28, for a total transaction of $608,760.00. Following the transaction, the insider now owns 480,899 shares of the company’s stock, valued at approximately $65,056,016.72. This represents a 0.93 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Colette Kress sold 66,670 shares of the company’s stock in a transaction dated Friday, December 13th. The stock was sold at an average price of $135.40, for a total transaction of $9,027,118.00. Following the completion of the sale, the chief financial officer now directly owns 3,351,572 shares of the company’s stock, valued at approximately $453,802,848.80. This trade represents a 1.95 % decrease in their ownership of the stock. The disclosure for this sale can be found here.

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on NVDA shares. Morgan Stanley boosted their price target on shares of NVIDIA from $150.00 to $160.00 and gave the company an “overweight” rating in a report on Monday, November 11th. Raymond James upped their target price on NVIDIA from $140.00 to $170.00 and gave the stock a “strong-buy” rating in a report on Thursday, November 14th. Sanford C. Bernstein increased their target price on NVIDIA from $130.00 to $155.00 and gave the company an “outperform” rating in a research report on Thursday, August 29th. Bank of America restated a “buy” rating and set a $190.00 price objective on shares of NVIDIA in a research note on Thursday, November 21st. Finally, William Blair started coverage on NVIDIA in a research note on Wednesday, September 18th. They issued an “outperform” rating on the stock. Four research analysts have rated the stock with a hold rating, thirty-nine have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $164.15.

NVIDIA Stock Performance

The company has a quick ratio of 3.64, a current ratio of 4.10 and a debt-to-equity ratio of 0.13. The firm has a 50-day moving average of $139.76 and a two-hundred day moving average of $126.69. The company has a market capitalization of $3.29 trillion, a PE ratio of 52.85, a PEG ratio of 2.52 and a beta of 1.63.

NVIDIA (NASDAQ:NVDA) last posted its earnings results on Wednesday, November 20th. The computer hardware maker reported $0.81 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.69 by $0.12. The firm had revenue of $35.08 billion during the quarter, compared to analysts’ expectations of $33.15 billion. NVIDIA had a net margin of 55.69% and a return on equity of 114.83%. The business’s revenue was up 93.6% compared to the same quarter last year. During the same period in the previous year, the business posted $0.38 EPS. Research analysts anticipate that NVIDIA Co. will post 2.76 EPS for the current year.

NVIDIA Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, December 27th. Stockholders of record on Thursday, December 5th will be given a dividend of $0.01 per share. This represents a $0.04 dividend on an annualized basis and a dividend yield of 0.03%. The ex-dividend date is Thursday, December 5th. NVIDIA’s dividend payout ratio (DPR) is presently 1.57%.

NVIDIA declared that its board has authorized a share repurchase program on Wednesday, August 28th that allows the company to repurchase $50.00 billion in shares. This repurchase authorization allows the computer hardware maker to reacquire up to 1.6% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s management believes its stock is undervalued.

Hedge Funds Weigh In On NVIDIA

A number of hedge funds have recently bought and sold shares of NVDA. Gulf International Bank UK Ltd increased its stake in shares of NVIDIA by 875.8% during the second quarter. Gulf International Bank UK Ltd now owns 2,141,420 shares of the computer hardware maker’s stock worth $264,551,000 after purchasing an additional 1,921,964 shares in the last quarter. Arkfeld Wealth Strategies L.L.C. increased its stake in NVIDIA by 817.9% during the 2nd quarter. Arkfeld Wealth Strategies L.L.C. now owns 23,222 shares of the computer hardware maker’s stock worth $2,977,000 after buying an additional 20,692 shares in the last quarter. Boit C F David raised its holdings in shares of NVIDIA by 900.0% during the second quarter. Boit C F David now owns 6,000 shares of the computer hardware maker’s stock valued at $741,000 after acquiring an additional 5,400 shares during the last quarter. Triangle Securities Wealth Management lifted its position in shares of NVIDIA by 846.9% in the second quarter. Triangle Securities Wealth Management now owns 18,560 shares of the computer hardware maker’s stock valued at $2,293,000 after acquiring an additional 16,600 shares in the last quarter. Finally, First Affirmative Financial Network boosted its stake in shares of NVIDIA by 940.4% in the second quarter. First Affirmative Financial Network now owns 44,967 shares of the computer hardware maker’s stock worth $5,555,000 after acquiring an additional 40,645 shares during the last quarter. Hedge funds and other institutional investors own 65.27% of the company’s stock.

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.