NVIDIA (NASDAQ:NVDA) Shares Up 1.3% – Still a Buy?

NVIDIA Corporation (NASDAQ:NVDA)’s stock price traded up 1.3% during trading on Friday . The company traded as high as $222.73 and last traded at $222.27. Approximately 186,457,542 shares were traded during trading, an increase of 19% from the average daily volume of 156,460,734 shares. The stock had previously closed at $219.34.

Key Headlines Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: CEO Jensen Huang said NVIDIA expects to sell roughly twice as many chips next year, reinforcing expectations for continued hyperscaler spending on GPUs, networking equipment and complete AI systems. Nvidia Chip Sales Could Double Next Year
• Positive Sentiment: Analysts and management commentary point to approximately 70% revenue growth in fiscal 2028, materially above earlier expectations near 45%. That outlook suggests demand may remain strong even as NVIDIA’s business becomes much larger. Jensen Huang just gave Nvidia investors a massive 2027 signal
• Positive Sentiment: New ecosystem activity continues to expand NVIDIA’s opportunity, including CoreWeave’s deployment of multi-rack Vera Rubin systems, autonomous trading applications powered by NVIDIA hardware, and a Google-NVIDIA effort to help connect more AI data centers to the power grid. Google, Nvidia and Anthropic want Emerald AI to find space on the grid for more data centers
• Positive Sentiment: Investors continue to describe NVIDIA as attractively valued relative to its earnings growth, while the company’s CUDA-Q software and quantum-computing partnerships could broaden its long-term role beyond conventional AI accelerators. NVIDIA takes the quantum leap
• Neutral Sentiment: A proposed SpaceX-NVIDIA effort to place AI computing systems in orbit could create a new source of chip demand, but the concept faces major cooling, radiation, connectivity and economic hurdles and is unlikely to contribute materially for several years. SpaceX and NVIDIA Want to Put AI Data Centers in Orbit
• Negative Sentiment: Huawei’s planned 2027 Ascend 960 chips and Broadcom’s custom-chip business highlight increasing competition and the risk that hyperscalers diversify away from NVIDIA GPUs. Huawei Sets Two Ascend 960 AI Chip Launches for 2027
• Negative Sentiment: Rising memory and networking costs may pressure gross margins, while NVIDIA’s large Taiwan customer exposure and heavy weighting in technology indexes leave the stock vulnerable to supply-chain, geopolitical and concentration concerns.

Analyst Upgrades and Downgrades

A number of equities analysts recently commented on NVDA shares. Royal Bank Of Canada raised their target price on NVIDIA from $300.00 to $330.00 and gave the company an “outperform” rating in a report on Thursday, August 27th. The Goldman Sachs Group reissued a “buy” rating on shares of NVIDIA in a research note on Thursday, September 10th. Tigress Financial reaffirmed a “strong-buy” rating and set a $425.00 target price (up from $360.00) on shares of NVIDIA in a research note on Wednesday, May 27th. Citigroup reissued a “buy” rating and issued a $315.00 price target (up from $300.00) on shares of NVIDIA in a research report on Thursday, August 27th. Finally, Raymond James Financial set a $515.00 price target on shares of NVIDIA and gave the stock a “strong-buy” rating in a research note on Thursday, August 27th. Three investment analysts have rated the stock with a Strong Buy rating, fifty have assigned a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Buy” and a consensus price target of $324.34.

NVIDIA Trading Up 1.3%

The stock has a market cap of $5.36 trillion, a price-to-earnings ratio of 28.10, a P/E/G ratio of 1.68 and a beta of 2.22. The business’s 50 day moving average is $214.43 and its 200 day moving average is $204.16. The company has a debt-to-equity ratio of 0.14, a current ratio of 4.59 and a quick ratio of 3.85.

NVIDIA (NASDAQ:NVDA) last announced its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.09 by $0.13. The company had revenue of $96.22 billion during the quarter, compared to the consensus estimate of $92.27 billion. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%.NVIDIA’s revenue for the quarter was up 105.9% on a year-over-year basis. During the same period in the previous year, the business earned $1.05 EPS. As a group, equities analysts expect that NVIDIA Corporation will post 9.12 earnings per share for the current fiscal year.

NVIDIA Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Thursday, September 10th will be given a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date of this dividend is Thursday, September 10th. NVIDIA’s dividend payout ratio (DPR) is 12.64%.

Insiders Place Their Bets

In related news, Director Mark Stevens sold 622,239 shares of the business’s stock in a transaction on Friday, September 4th. The shares were sold at an average price of $231.62, for a total value of $144,122,997.18. Following the completion of the sale, the director directly owned 2,336,531 shares of the company’s stock, valued at $541,187,310.22. The trade was a 21.03% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Timothy Teter sold 30,000 shares of the firm’s stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $217.88, for a total value of $6,536,400.00. Following the transaction, the executive vice president directly owned 2,687,660 shares in the company, valued at approximately $585,587,360.80. The trade was a 1.10% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 1,700,740 shares of company stock valued at $385,015,077. 3.94% of the stock is owned by corporate insiders.

Institutional Trading of NVIDIA

A number of large investors have recently bought and sold shares of NVDA. Lifetime Wealth Management P.C. acquired a new stake in shares of NVIDIA in the 4th quarter valued at $26,000. Longview Financial Advisors Inc. acquired a new stake in shares of NVIDIA in the first quarter valued at about $27,000. Montgomery Financial Services LLC bought a new position in shares of NVIDIA in the second quarter worth about $28,000. Langley Wealth Management LLC acquired a new position in shares of NVIDIA during the 2nd quarter worth about $34,000. Finally, Phillip James Consulting Co. bought a new stake in NVIDIA during the 1st quarter valued at approximately $40,000. Institutional investors and hedge funds own 65.27% of the company’s stock.

NVIDIA Company Profile

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company’s offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.