CastleKnight Management LP Trims Position in NVIDIA Corporation $NVDA

CastleKnight Management LP reduced its stake in shares of NVIDIA Corporation (NASDAQ:NVDA) by 56.2% during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 201,100 shares of the computer hardware maker’s stock after selling 258,500 shares during the quarter. NVIDIA accounts for approximately 0.8% of CastleKnight Management LP’s portfolio, making the stock its 10th largest holding. CastleKnight Management LP’s holdings in NVIDIA were worth $37,505,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also recently modified their holdings of NVDA. Longfellow Investment Management Co. LLC lifted its holdings in NVIDIA by 47.9% in the second 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 period. Spurstone Advisory Services LLC purchased a new stake in NVIDIA in the second quarter worth about $40,000. AlphaCentric Advisors LLC purchased a new stake in NVIDIA in the fourth quarter worth about $45,000. Syntax Research Inc. lifted its holdings in NVIDIA by 62.5% in the fourth quarter. Syntax Research Inc. now owns 260 shares of the computer hardware maker’s stock worth $49,000 after buying an additional 100 shares during the period. Finally, Networth Advisors LLC purchased a new stake in NVIDIA in the fourth quarter worth about $51,000. 65.27% of the stock is owned by institutional investors.

NVIDIA News Summary

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA’s bond sale drew strong demand, with reports that the company booked about $85 billion in orders for its jumbo debt offering. That suggests investors still see NVDA as a high-quality credit and gives the company more flexibility to fund its AI infrastructure buildout. Article Title
• Positive Sentiment: Several articles highlighted continued AI demand and upbeat commentary around NVIDIA’s growth, including strong revenue, expanding margins, and analyst views that the stock still looks attractive relative to peers. Article Title
• Positive Sentiment: Recent partnerships and ecosystem wins, including HPE’s AI Factory expansion with NVIDIA and other data-center related deals, reinforce NVDA’s central role in AI infrastructure. Article Title
• Neutral Sentiment: NVIDIA executives, including Jensen Huang, continued to promote AI as a long-term driver for U.S. manufacturing and jobs, but these comments were mostly thematic and did not include a new financial catalyst. Article Title
• Negative Sentiment: Multiple reports warned that NVIDIA could face an AI funding squeeze as customers and infrastructure partners rely more heavily on debt and become more disciplined about capital spending. That concern is weighing on sentiment across AI stocks, including NVDA. Article Title
• Negative Sentiment: Short-seller Jim Chanos’ comparison of the AI buildout to the dot-com era added to worries that the current AI capex boom could eventually slow or disappoint, pressuring sentiment on NVIDIA and peers. Article Title
• Negative Sentiment: There were also repeated headlines about NVIDIA being “under pressure” and lagging some semiconductor peers, reflecting investor concern that the stock may be pausing after a huge run and facing valuation scrutiny. Article Title

Insider Activity

In other news, Director John Dabiri sold 625 shares of the business’s stock in a transaction dated Wednesday, May 27th. The shares were sold at an average price of $214.00, for a total value of $133,750.00. Following the sale, the director directly owned 14,163 shares in the company, valued at $3,030,882. The trade was a 4.23% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Colette Kress sold 42,650 shares of the company’s stock in a transaction dated Friday, March 20th. The shares were sold at an average price of $174.89, for a total transaction of $7,459,058.50. Following the transaction, the chief financial officer owned 881,387 shares in the company, valued at $154,145,772.43. The trade was a 4.62% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 1,300,457 shares of company stock worth $274,041,153 in the last quarter. Corporate insiders own 3.94% of the company’s stock.

Analyst Ratings Changes

NVDA has been the subject of a number of analyst reports. Fundamental Research set a $218.00 target price on shares of NVIDIA in a research note on Thursday, February 26th. Zacks Research downgraded shares of NVIDIA from a “strong-buy” rating to a “hold” rating in a research note on Thursday, May 21st. Seaport Research Partners raised their target price on shares of NVIDIA from $140.00 to $180.00 and gave the company a “sell” rating in a research note on Thursday, May 21st. Piper Sandler reaffirmed an “overweight” rating on shares of NVIDIA in a research note on Thursday, February 26th. Finally, Jefferies Financial Group reaffirmed a “buy” rating and set a $300.00 target price (up from $275.00) on shares of NVIDIA in a research note on Thursday, May 21st. Three research analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average target price of $305.67.

NVIDIA Trading Down 1.3%

NASDAQ:NVDA opened at $204.65 on Thursday. The company has a current ratio of 3.44, a quick ratio of 2.85 and a debt-to-equity ratio of 0.04. NVIDIA Corporation has a 12 month low of $142.03 and a 12 month high of $236.54. The company has a market cap of $4.95 trillion, a PE ratio of 31.34, a price-to-earnings-growth ratio of 0.46 and a beta of 2.22. The company has a 50 day simple moving average of $208.68 and a two-hundred day simple moving average of $192.01.

NVIDIA (NASDAQ:NVDA) last posted its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. The business had revenue of $81.62 billion during the quarter, compared to the consensus estimate of $78.42 billion. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The firm’s revenue was up 85.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.81 EPS. Research analysts forecast that NVIDIA Corporation will post 8.65 earnings per share for the current year.

NVIDIA announced that its Board of Directors has authorized a stock repurchase program on Wednesday, May 20th that allows the company to repurchase $80.00 billion in shares. This repurchase authorization allows the computer hardware maker to buy up to 1.5% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s board believes its shares are undervalued.

NVIDIA Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 26th. Investors of record on Thursday, June 4th will be paid a dividend of $0.25 per share. This is a positive change from NVIDIA’s previous quarterly dividend of $0.01. The ex-dividend date is Thursday, June 4th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.5%. NVIDIA’s dividend payout ratio is presently 15.31%.

NVIDIA 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.