NVIDIA (NASDAQ:NVDA) Trading Down 5.5% – Should You Sell?

Shares of NVIDIA Corporation (NASDAQ:NVDA) traded down 5.5% during trading on Thursday . The stock traded as low as $184.32 and last traded at $184.89. 357,572,255 shares were traded during trading, an increase of 102% from the average session volume of 176,840,078 shares. The stock had previously closed at $195.56.

NVIDIA News Roundup

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Blowout quarter and aggressive guidance. NVDA posted record Q4 revenue and EPS and guided Q1 well above Street expectations, driven by Blackwell/Rubin demand and hyperscaler capex — this is the core bullish case for sustained cash flow and margin expansion. Read More.
• Positive Sentiment: Heavy analyst support and price‑target upgrades. Multiple brokers raised price targets and reiterated buy/outperform ratings after the print (RBC, Bernstein, Truist, Baird, Bank of America), which supports upside over the medium term. Read More.
• Neutral Sentiment: China shipments: incremental progress, limited revenue so far. NVDA got limited approvals/licenses to ship some H200 chips to China but management says it hasn’t yet recognized revenue there — this reduces one tailwind until scale is proven. Read More.
• Neutral Sentiment: Supply dynamics: gaming GPU shortage to persist. Nvidia expects gaming‑GPU shortages through year‑end; for investors this is mixed — it may maintain pricing and margins but limits gaming revenue growth. Read More.
• Negative Sentiment: Stock fell despite the beat — investor expectations and rotation. Many traders sold into the strength: the quarter cleared estimates but investors were “left wanting more” on cadence, sustainability and margin cadence; that profit‑taking and rotation into other names pressured the share price. Read More.
• Negative Sentiment: Concerns about long‑term sustainability, competition and valuation. Media and investors flag risks: hyperscaler capex normalization, rising competition (AMD, Google, Broadcom moves), heavy insider selling and premium multiples — all amplify sensitivity to any slower growth signals. Read More.
• Negative Sentiment: High trading volume and cautious market tone. Volume is elevated and the broader AI/tech trade is volatile — even strong fundamentals can trigger sharp swings when sentiment turns cautious. Read More.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on NVDA. Melius Research boosted their price target on shares of NVIDIA from $300.00 to $320.00 and gave the company a “buy” rating in a research report on Thursday, November 20th. Citigroup lifted their price target on shares of NVIDIA from $270.00 to $300.00 and gave the stock a “buy” rating in a research note on Thursday. Piper Sandler reissued an “overweight” rating on shares of NVIDIA in a report on Thursday. Macquarie Infrastructure raised NVIDIA to an “outperform” rating in a research note on Monday, December 29th. Finally, Stifel Nicolaus set a $250.00 target price on NVIDIA in a report on Thursday, January 8th. Three research analysts have rated the stock with a Strong Buy rating, forty-seven have given a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat, NVIDIA presently has an average rating of “Buy” and an average price target of $271.58.

NVIDIA Trading Down 5.5%

The company has a current ratio of 4.47, a quick ratio of 3.71 and a debt-to-equity ratio of 0.06. The business has a fifty day moving average price of $186.30 and a 200 day moving average price of $183.88. The firm has a market cap of $4.49 trillion, a PE ratio of 45.88, a P/E/G ratio of 0.58 and a beta of 2.31.

NVIDIA (NASDAQ:NVDA) last announced its quarterly earnings data on Wednesday, February 25th. The computer hardware maker reported $1.62 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.54 by $0.08. The company had revenue of $68.13 billion for the quarter, compared to analysts’ expectations of $65.56 billion. NVIDIA had a net margin of 53.01% and a return on equity of 99.24%. NVIDIA’s revenue was up 73.2% compared to the same quarter last year. During the same period in the previous year, the company posted $0.89 EPS. Analysts forecast that NVIDIA Corporation will post 2.77 EPS for the current year.

NVIDIA Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Shareholders of record on Wednesday, March 11th will be given a $0.01 dividend. The ex-dividend date of this dividend is Wednesday, March 11th. This represents a $0.04 annualized dividend and a yield of 0.0%. NVIDIA’s dividend payout ratio (DPR) is 0.99%.

Insiders Place Their Bets

In related news, CFO Colette Kress sold 20,000 shares of the stock in a transaction on Wednesday, February 4th. The stock was sold at an average price of $175.72, for a total value of $3,514,400.00. Following the completion of the transaction, the chief financial officer owned 93,060 shares in the company, valued at $16,352,503.20. This trade represents a 17.69% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Harvey C. Jones sold 250,000 shares of NVIDIA stock in a transaction dated Monday, December 15th. The shares were sold at an average price of $177.33, for a total value of $44,332,500.00. Following the sale, the director owned 6,933,280 shares of the company’s stock, valued at approximately $1,229,478,542.40. This represents a 3.48% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 1,610,848 shares of company stock worth $291,619,375 in the last quarter. Company insiders own 4.17% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Harbor Asset Planning Inc. bought a new stake in NVIDIA in the 2nd quarter valued at $28,000. Winnow Wealth LLC acquired a new position in NVIDIA during the second quarter valued at approximately $32,000. Longfellow Investment Management Co. LLC lifted its position in shares of NVIDIA by 47.9% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock worth $33,000 after buying an additional 67 shares during the last quarter. Inspire Investing LLC bought a new stake in shares of NVIDIA during the 4th quarter valued at approximately $44,000. Finally, AlphaCentric Advisors LLC acquired a new position in shares of NVIDIA during the fourth quarter worth $45,000. 65.27% of the stock is owned by institutional investors.

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.