NVIDIA (NASDAQ:NVDA) Trading Up 1.6% – Here’s Why

NVIDIA Corporation (NASDAQ:NVDA) shares shot up 1.6% during mid-day trading on Wednesday . The company traded as high as $192.35 and last traded at $191.52. 145,907,263 shares changed hands during mid-day trading, a decline of 10% from the average session volume of 162,311,438 shares. The stock had previously closed at $188.52.

NVIDIA News Roundup

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: China reportedly approved imports of NVIDIA’s H200 AI chips, which eases a major sales headwind and boosts near-term revenue prospects in a large market. Read More.
• Positive Sentiment: Wall Street remains overwhelmingly bullish: numerous buy/outperform ratings and a median analyst price target around $250 support upside expectations and help underpin the rally. Read More.
• Positive Sentiment: Institutional buying continues — DekaBank disclosed adding ~1.0M NVDA shares in its 13F filing, part of broad institutional flows that have buoyed the name. Continued fund demand is a technical tailwind. Read More.
• Positive Sentiment: NVIDIA’s $2B investment in CoreWeave is being framed as strategic validation of its AI-infrastructure strategy; high-profile bullish commentary (e.g., Jim Cramer) is supporting sentiment. Read More.
• Neutral Sentiment: Analysts and investors are focused on NVIDIA’s upcoming quarterly report (Feb. 25) — markets are trading in anticipation and that print could materially change the near-term narrative. Read More.
• Neutral Sentiment: ETF and index concentrations (e.g., large weightings in growth ETFs) mean flows into/away from passive funds can amplify moves in NVDA — structural demand remains important. Read More.
• Negative Sentiment: Rising use of leveraged financing tied to GPU hardware (“GPU debt”) raises systemic risk for customers and the ecosystem if hardware values weaken — this could slow upgrade cycles and pressure demand. Read More.
• Negative Sentiment: Competition and vertical moves by hyperscalers (e.g., Microsoft’s new Maia 200 inference chip and other Mag‑7 chip initiatives) keep margin and share dynamics under watch — investors will recalibrate if cloud customers shift workloads away from GPUs. Read More.
• Negative Sentiment: Insider selling has been heavy (many disclosed sales), which some investors view as a signal to monitor; while insider sales can be routine diversification, the volume is notable. Read More.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on the company. Melius Research increased their price objective on NVIDIA from $300.00 to $320.00 and gave the stock a “buy” rating in a research note on Thursday, November 20th. Wall Street Zen raised shares of NVIDIA from a “hold” rating to a “buy” rating in a report on Sunday. Zacks Research cut shares of NVIDIA from a “strong-buy” rating to a “hold” rating in a research report on Monday, January 12th. Rothschild & Co Redburn boosted their price target on shares of NVIDIA from $245.00 to $268.00 and gave the company a “buy” rating in a research report on Thursday, January 15th. Finally, Wedbush upped their price objective on shares of NVIDIA from $210.00 to $230.00 and gave the stock an “outperform” rating in a research note on Thursday, November 20th. Four investment analysts have rated the stock with a Strong Buy rating, forty-seven have given a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, the stock presently has an average rating of “Buy” and an average price target of $263.41.

NVIDIA Stock Performance

The firm’s 50-day moving average price is $183.52 and its 200 day moving average price is $182.14. The company has a market cap of $4.65 trillion, a price-to-earnings ratio of 47.52, a PEG ratio of 0.91 and a beta of 2.31. The company has a debt-to-equity ratio of 0.06, a quick ratio of 3.71 and a current ratio of 4.47.

NVIDIA (NASDAQ:NVDA) last released its earnings results on Wednesday, November 19th. The computer hardware maker reported $1.30 EPS for the quarter, topping analysts’ consensus estimates of $1.23 by $0.07. NVIDIA had a net margin of 53.01% and a return on equity of 99.24%. The firm had revenue of $57.01 billion during the quarter, compared to analyst estimates of $54.66 billion. During the same quarter in the previous year, the business earned $0.81 EPS. The business’s quarterly revenue was up 62.5% compared to the same quarter last year. On average, sell-side analysts anticipate that NVIDIA Corporation will post 2.77 EPS for the current year.

NVIDIA Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, December 26th. Investors of record on Thursday, December 4th were given a $0.01 dividend. This represents a $0.04 dividend on an annualized basis and a dividend yield of 0.0%. The ex-dividend date was Thursday, December 4th. NVIDIA’s dividend payout ratio (DPR) is currently 0.99%.

Insider Activity at NVIDIA

In other NVIDIA news, CFO Colette Kress sold 30,500 shares of the stock in a transaction dated Friday, December 12th. The stock was sold at an average price of $178.11, for a total transaction of $5,432,355.00. Following the completion of the transaction, the chief financial officer owned 1,286,826 shares in the company, valued at approximately $229,196,578.86. This represents a 2.32% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Ajay K. Puri sold 200,000 shares of NVIDIA stock in a transaction that occurred on Wednesday, January 7th. The shares were sold at an average price of $187.82, for a total value of $37,564,000.00. Following the completion of the sale, the executive vice president directly owned 3,818,547 shares in the company, valued at approximately $717,199,497.54. This represents a 4.98% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 1,611,474 shares of company stock valued at $293,285,232. 4.17% of the stock is owned by corporate insiders.

Institutional Trading of NVIDIA

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Harbor Asset Planning Inc. bought a new position in NVIDIA during the 2nd quarter worth $28,000. Winnow Wealth LLC bought a new position in NVIDIA in the 2nd quarter valued at about $32,000. Longfellow Investment Management Co. LLC raised its position in NVIDIA by 47.9% during the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock valued at $33,000 after purchasing an additional 67 shares in the last quarter. Spurstone Advisory Services LLC acquired a new position in shares of NVIDIA during the 2nd quarter worth $40,000. Finally, Sellwood Investment Partners LLC bought a new position in NVIDIA in the third quarter valued at about $50,000. 65.27% of the stock is owned by institutional investors.

About NVIDIA

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.