NVIDIA (NASDAQ:NVDA) Shares Gap Down After Insider Selling

NVIDIA Co. (NASDAQ:NVDA)’s stock price gapped down prior to trading on Tuesday after an insider sold shares in the company. The stock had previously closed at $124.30, but opened at $121.13. NVIDIA shares last traded at $122.67, with a volume of 23,464,068 shares changing hands.

Specifically, CFO Colette Kress sold 100,000 shares of the stock in a transaction on Friday, June 21st. The shares were sold at an average price of $126.99, for a total transaction of $12,699,000.00. Following the completion of the sale, the chief financial officer now owns 5,288,862 shares in the company, valued at approximately $671,632,585.38. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In related news, CFO Colette Kress sold 100,000 shares of the stock in a transaction on Friday, June 21st. The shares were sold at an average price of $126.99, for a total transaction of $12,699,000.00. Following the completion of the sale, the chief financial officer now owns 5,288,862 shares in the company, valued at approximately $671,632,585.38. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, insider Donald F. Robertson, Jr. sold 4,500 shares of the stock in a transaction on Friday, June 21st. The stock was sold at an average price of $128.17, for a total transaction of $576,765.00. Following the sale, the insider now owns 503,878 shares of the company’s stock, valued at approximately $64,582,043.26. The disclosure for this sale can be found here. Insiders sold a total of 2,106,590 shares of company stock worth $354,056,104 in the last 90 days. Company insiders own 4.23% of the company’s stock.

Analyst Ratings Changes

NVDA has been the topic of several analyst reports. JPMorgan Chase & Co. lifted their target price on shares of NVIDIA from $85.00 to $115.00 and gave the company an “overweight” rating in a report on Thursday, May 23rd. StockNews.com downgraded shares of NVIDIA from a “strong-buy” rating to a “hold” rating in a report on Tuesday, June 18th. Benchmark lifted their target price on shares of NVIDIA from $100.00 to $135.00 and gave the company a “buy” rating in a report on Thursday, May 23rd. UBS Group lifted their target price on shares of NVIDIA from $115.00 to $120.00 and gave the company a “buy” rating in a report on Thursday, May 23rd. Finally, Needham & Company LLC boosted their price objective on shares of NVIDIA from $85.00 to $120.00 and gave the stock a “buy” rating in a report on Thursday, May 23rd. Five analysts have rated the stock with a hold rating, thirty-eight have given a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $126.34.

NVIDIA Trading Up 4.6 %

The company has a quick ratio of 3.14, a current ratio of 3.53 and a debt-to-equity ratio of 0.17. The firm’s 50 day simple moving average is $107.95 and its 200-day simple moving average is $84.78. The company has a market capitalization of $3.16 trillion, a PE ratio of 75.02, a P/E/G ratio of 1.29 and a beta of 1.68.

NVIDIA (NASDAQ:NVDA) last announced its earnings results on Wednesday, May 22nd. The computer hardware maker reported $0.61 earnings per share for the quarter, beating the consensus estimate of $0.51 by $0.10. The business had revenue of $26.04 billion during the quarter, compared to the consensus estimate of $24.59 billion. NVIDIA had a net margin of 53.40% and a return on equity of 110.60%. The business’s quarterly revenue was up 262.1% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.09 earnings per share. As a group, equities research analysts anticipate that NVIDIA Co. will post 2.53 EPS for the current year.

NVIDIA Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, June 28th. Stockholders of record on Tuesday, June 11th were paid a $0.10 dividend. The ex-dividend date of this dividend was Tuesday, June 11th. This is an increase from NVIDIA’s previous quarterly dividend of $0.04. This represents a $0.40 annualized dividend and a dividend yield of 0.31%. NVIDIA’s dividend payout ratio is 2.34%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Kennedy Capital Management LLC increased its stake in NVIDIA by 34.8% during the 3rd quarter. Kennedy Capital Management LLC now owns 10,756 shares of the computer hardware maker’s stock valued at $4,679,000 after buying an additional 2,775 shares during the period. Royal London Asset Management Ltd. boosted its position in shares of NVIDIA by 1.6% during the 3rd quarter. Royal London Asset Management Ltd. now owns 1,812,067 shares of the computer hardware maker’s stock valued at $788,104,000 after purchasing an additional 28,664 shares in the last quarter. Industrial Alliance Investment Management Inc. boosted its position in shares of NVIDIA by 56.3% during the 3rd quarter. Industrial Alliance Investment Management Inc. now owns 3,230 shares of the computer hardware maker’s stock valued at $1,405,000 after purchasing an additional 1,164 shares in the last quarter. Old North State Trust LLC boosted its position in shares of NVIDIA by 4.5% during the 3rd quarter. Old North State Trust LLC now owns 4,296 shares of the computer hardware maker’s stock valued at $1,869,000 after purchasing an additional 186 shares in the last quarter. Finally, GSA Capital Partners LLP boosted its position in shares of NVIDIA by 157.0% during the 3rd quarter. GSA Capital Partners LLP now owns 13,804 shares of the computer hardware maker’s stock valued at $6,005,000 after purchasing an additional 8,433 shares in the last quarter. 65.27% of the stock is currently owned by hedge funds and other institutional investors.

About NVIDIA

NVIDIA Corporation provides graphics and compute and networking solutions in the United States, Taiwan, China, Hong Kong, and internationally. The Graphics segment offers GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU or vGPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems; and Omniverse software for building and operating metaverse and 3D internet applications.