NVIDIA Corporation $NVDA Stock: Franchise GP Ltd Cuts Holdings

Franchise GP Ltd lessened its position in shares of NVIDIA Corporation (NASDAQ:NVDA) by 24.3% in the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 74,680 shares of the computer hardware maker’s stock after selling 23,939 shares during the period. NVIDIA makes up approximately 7.3% of Franchise GP Ltd’s investment portfolio, making the stock its 4th largest position. Franchise GP Ltd’s holdings in NVIDIA were worth $17,055,000 at the end of the most recent reporting period.

A number of other institutional investors also recently made changes to their positions in NVDA. Montgomery Financial Services LLC acquired a new stake in shares of NVIDIA during the second quarter worth $28,000. Langley Wealth Management LLC bought a new stake in shares of NVIDIA in the second quarter valued at about $34,000. Newton One Investments LLC acquired a new position in shares of NVIDIA in the third quarter valued at about $34,000. Phillip James Consulting Co. acquired a new position in shares of NVIDIA in the first quarter valued at about $40,000. Finally, Bard Associates Inc. grew its stake in shares of NVIDIA by 8,866.7% in the second quarter. Bard Associates Inc. now owns 269 shares of the computer hardware maker’s stock valued at $54,000 after acquiring an additional 266 shares in the last quarter. Institutional investors own 65.27% of the company’s stock.

Analyst Ratings Changes

A number of brokerages have issued reports on NVDA. Benchmark restated a “buy” rating and set a $335.00 target price on shares of NVIDIA in a research report on Thursday, August 27th. Truist Financial raised their target price on shares of NVIDIA from $307.00 to $346.00 and gave the stock a “buy” rating in a report on Thursday, August 27th. Weiss Ratings cut NVIDIA from a “buy (b+)” rating to a “buy (b)” rating in a research note on Monday, November 2nd. DA Davidson reissued a “buy” rating and set a $300.00 price target on shares of NVIDIA in a research report on Thursday, August 27th. Finally, President Capital raised their price objective on NVIDIA from $295.00 to $330.00 in a research note on Thursday, August 27th. Five investment analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Buy” and an average target price of $318.75.

Insider Transactions at NVIDIA

In other NVIDIA news, Director Mark A. Stevens sold 622,239 shares of NVIDIA stock in a transaction dated Friday, September 4th. The stock was sold at an average price of $231.62, for a total value of $144,122,997.18. Following the transaction, the director owned 2,336,531 shares in the company, valued at $541,187,310.22. The trade was a 21.03% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CFO Colette Kress sold 34,918 shares of the stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $219.05, for a total transaction of $7,648,787.90. Following the completion of the transaction, the chief financial officer directly owned 765,103 shares of the company’s stock, valued at $167,595,812.15. This trade represents a 4.36% 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. In the last quarter, insiders sold 1,766,118 shares of company stock valued at $399,450,353. Corporate insiders own 3.94% of the company’s stock.

NVIDIA Price Performance

Shares of NASDAQ:NVDA opened at $168.93 on Wednesday. The firm has a 50 day moving average of $217.99 and a 200-day moving average of $204.42. NVIDIA Corporation has a 12 month low of $164.27 and a 12 month high of $243.37. The company has a current ratio of 4.59, a quick ratio of 3.85 and a debt-to-equity ratio of 0.14. The stock has a market capitalization of $4.07 trillion, a PE ratio of 21.36, a PEG ratio of 1.37 and a beta of 2.21.

NVIDIA (NASDAQ:NVDA) last posted its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.09 by $0.13. The business had revenue of $96.22 billion for the quarter, compared to analyst estimates of $92.27 billion. NVIDIA had a net margin of 63.66% and a return on equity of 96.04%. The firm’s revenue for the quarter was up 105.9% on a year-over-year basis. During the same quarter last year, the business posted $1.05 EPS. On average, equities research analysts predict that NVIDIA Corporation will post 9.30 EPS for the current fiscal year.

NVIDIA Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th were paid a $0.25 dividend. The ex-dividend date was Thursday, September 10th. This represents a $1.00 annualized dividend and a dividend yield of 0.6%. NVIDIA’s dividend payout ratio (DPR) is presently 12.64%.

NVIDIA declared that its Board of Directors has initiated a stock repurchase program on Monday, September 28th that authorizes the company to repurchase $150 billion in shares. This buyback authorization authorizes the computer hardware maker to purchase up to 2.8% of its shares through open market purchases. Stock buyback programs are generally a sign that the company’s management believes its stock is undervalued.

NVIDIA News Summary

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA, Rebellions and SK Telecom announced a collaboration to combine NVIDIA’s NVLink Fusion and infrastructure with Korean-designed AI processors, supporting the company’s effort to expand its platform and partnerships. Article: NVIDIA, Rebellions and SK Telecom collaboration
• Neutral Sentiment: Some analysts remain positive despite trimming targets: Citi lowered its target but kept a Buy rating, while Wells Fargo cut its target and maintained Overweight. Investors are also looking ahead to NVIDIA’s November 17 earnings report. Article: Nvidia Stock Falls as Citi Trims Price Target
• Negative Sentiment: The board has retained outside counsel for an independent investigation into reports that Huang was targeted by a foreign intelligence effort. FBI and congressional scrutiny raises risks of reputational damage, governance concerns and possible regulatory attention; investors are also focused on NVIDIA’s reliance on Huang and lack of a clear public succession plan. Article: Nvidia hires law firm to lead Jensen Huang probe
• Negative Sentiment: A report alleged that Huang’s relationship with Alice Huang helped facilitate at least $7.5 billion in chip shipments to Chinese firms, including companies reportedly subject to restrictions. The claims have not been established, and Reuters could not independently verify the report, but they intensify export-control and national-security concerns. Article: Why Nvidia Stock Just Fell Again
• Negative Sentiment: Shareholder securities class actions have been filed alleging investors were not adequately informed; the claims are allegations, not findings of wrongdoing. Separately, rising Treasury yields and a broader technology sell-off are weighing on growth-stock valuations. Article: NVIDIA securities class action notice

NVIDIA Profile

NVIDIA Corporation develops graphics processing units (GPUs), accelerated computing platforms and related software. Founded in 1993, the company first became widely known for GPUs used in PC gaming and professional graphics. Its technology now also supports artificial intelligence, scientific computing and other data-intensive applications. NVIDIA’s offerings include GeForce products for gaming, data-center GPUs and systems for AI workloads, and networking products that connect computing infrastructure.