NVIDIA (NASDAQ:NVDA) Stock Price Up 1.8% – Still a Buy?

NVIDIA Corporation (NASDAQ:NVDA) shares traded up 1.8% on Thursday . The company traded as high as $221.60 and last traded at $218.66. 164,166,658 shares were traded during mid-day trading, a decline of 5% from the average session volume of 172,166,328 shares. The stock had previously closed at $214.75.

NVIDIA News Summary

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Analyst commentary remained constructive, with multiple notes saying NVIDIA still looks best positioned in AI chips thanks to Blackwell, CUDA, and growing AI inference demand. Article Title
• Positive Sentiment: NVIDIA unveiled and promoted new AI infrastructure initiatives, including the DSX platform for AI factory design and operations, reinforcing its role beyond chips and into the full data-center stack. Article Title
• Positive Sentiment: New partnership and customer headlines, including LG Group’s reported plan to adopt 10,000 NVIDIA GPUs and ongoing South Korea business-development efforts, support the view that AI spending remains robust. Article Title
• Positive Sentiment: Reports about NVIDIA’s AI PC push, including the RTX Spark superchip, suggest the company is expanding into new growth areas beyond servers and could unlock another long-term market. Article Title
• Neutral Sentiment: NVIDIA was a topic of debate around whether the AI boom is becoming a bubble, but several pieces argued the buildout is still supported by real capex and customer demand. Article Title
• Neutral Sentiment: The stock is also being influenced by sector rotation and weakness in peers like Broadcom, which has pressured semis overall even as NVIDIA has held up better than many rivals. Article Title
• Negative Sentiment: Some investors remain cautious that AI spending may eventually slow or fail to deliver expected returns, which could weigh on sentiment toward NVIDIA and other AI leaders. Article Title

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the company. Robert W. Baird set a $500.00 price target on NVIDIA and gave the company an “outperform” rating in a report on Thursday, May 21st. Weiss Ratings reiterated a “buy (b)” rating on shares of NVIDIA in a research report on Friday, April 10th. Wells Fargo & Company reissued an “overweight” rating and issued a $315.00 target price (up from $265.00) on shares of NVIDIA in a report on Tuesday, May 12th. Bank of America reaffirmed a “buy” rating and set a $350.00 price target (up from $320.00) on shares of NVIDIA in a research note on Thursday, May 21st. Finally, Piper Sandler reiterated an “overweight” rating on shares of NVIDIA in a research note on Thursday, February 26th. Three investment 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.com, the company currently has a consensus rating of “Buy” and an average target price of $305.38.

NVIDIA Price Performance

The stock has a market capitalization of $5.29 trillion, a price-to-earnings ratio of 33.49, a P/E/G ratio of 0.54 and a beta of 2.22. The company has a 50-day moving average of $201.97 and a 200-day moving average of $190.25. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.85 and a current ratio of 3.44.

NVIDIA (NASDAQ:NVDA) last issued its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.76 by $0.11. The business had revenue of $81.62 billion for the quarter, compared to the consensus estimate of $78.42 billion. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The business’s revenue was up 85.2% on a year-over-year basis. During the same period in the prior year, the business earned $0.81 earnings per share. As a group, equities research analysts expect that NVIDIA Corporation will post 8.04 earnings per share for the current fiscal year.

NVIDIA Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, June 26th. Shareholders of record on Thursday, June 4th will be paid a dividend of $0.25 per share. The ex-dividend date of this dividend is Thursday, June 4th. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. This is an increase from NVIDIA’s previous quarterly dividend of $0.01. NVIDIA’s dividend payout ratio is 0.61%.

NVIDIA announced that its Board of Directors has approved a share repurchase program on Wednesday, May 20th that permits the company to buyback $80.00 billion in shares. This buyback authorization permits the computer hardware maker to purchase up to 1.5% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s board of directors believes its stock is undervalued.

Insiders Place Their Bets

In other NVIDIA news, Director Mark A. Stevens sold 221,682 shares of the business’s stock in a transaction on Friday, March 20th. The stock was sold at an average price of $173.68, for a total value of $38,501,729.76. Following the completion of the transaction, the director directly owned 7,399,771 shares in the company, valued at approximately $1,285,192,227.28. The trade was a 2.91% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CFO Colette Kress sold 42,650 shares of the stock in a transaction on Friday, March 20th. The stock was sold at an average price of $174.89, for a total value of $7,459,058.50. Following the transaction, the chief financial officer directly owned 881,387 shares in the company, valued at approximately $154,145,772.43. This represents a 4.62% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 906,961 shares of company stock valued at $162,936,268. 3.94% of the stock is currently owned by insiders.

Hedge Funds Weigh In On NVIDIA

Several institutional investors have recently added to or reduced their stakes in NVDA. State Street Corp grew its position in NVIDIA by 1.2% during the fourth quarter. State Street Corp now owns 991,480,489 shares of the computer hardware maker’s stock valued at $184,911,111,000 after acquiring an additional 11,451,386 shares during the period. Geode Capital Management LLC raised its holdings in shares of NVIDIA by 0.6% in the 4th quarter. Geode Capital Management LLC now owns 588,803,093 shares of the computer hardware maker’s stock worth $109,446,217,000 after purchasing an additional 3,383,441 shares during the period. Norges Bank acquired a new position in shares of NVIDIA in the 4th quarter valued at about $62,244,133,000. Bank of America Corp DE lifted its stake in shares of NVIDIA by 2.1% in the 1st quarter. Bank of America Corp DE now owns 191,200,989 shares of the computer hardware maker’s stock valued at $33,345,453,000 after purchasing an additional 4,019,505 shares in the last quarter. Finally, Legal & General Group Plc grew its holdings in shares of NVIDIA by 1.5% during the 3rd quarter. Legal & General Group Plc now owns 181,203,035 shares of the computer hardware maker’s stock worth $33,808,862,000 after purchasing an additional 2,609,560 shares during the period. 65.27% of the stock is currently owned by institutional investors and hedge funds.

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.