NVIDIA (NASDAQ:NVDA) Shares Down 2.2%

NVIDIA Co. (NASDAQ:NVDA) dropped 2.2% during trading on Monday . The company traded as low as $114.36 and last traded at $116.53. Approximately 92,392,328 shares traded hands during mid-day trading, a decline of 79% from the average daily volume of 437,427,156 shares. The stock had previously closed at $119.10.

Analyst Upgrades and Downgrades

Several research firms have weighed in on NVDA. Wolfe Research increased their price objective on NVIDIA from $120.00 to $125.00 and gave the stock an “outperform” rating in a research report on Thursday, May 23rd. Piper Sandler reiterated an “overweight” rating and issued a $140.00 price objective on shares of NVIDIA in a research note on Thursday, August 29th. Needham & Company LLC boosted their price objective on shares of NVIDIA from $120.00 to $145.00 and gave the company a “buy” rating in a report on Thursday, August 29th. HSBC raised their target price on shares of NVIDIA from $135.00 to $145.00 and gave the stock a “buy” rating in a report on Wednesday, August 21st. Finally, StockNews.com lowered NVIDIA from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, June 18th. Five analysts have rated the stock with a hold rating, thirty-seven have assigned a buy rating and two have assigned a strong buy rating to the company’s stock. According to MarketBeat, NVIDIA currently has a consensus rating of “Moderate Buy” and a consensus price target of $142.10.

NVIDIA Price Performance

The business has a 50 day moving average price of $116.88 and a 200-day moving average price of $106.63. The company has a market capitalization of $2.79 trillion, a price-to-earnings ratio of 67.25, a P/E/G ratio of 1.06 and a beta of 1.67. The company has a debt-to-equity ratio of 0.15, a quick ratio of 3.79 and a current ratio of 4.27.

NVIDIA (NASDAQ:NVDA) last issued its quarterly earnings results on Wednesday, August 28th. The computer hardware maker reported $0.68 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.64 by $0.04. The firm had revenue of $30.04 billion for the quarter, compared to analyst estimates of $28.74 billion. NVIDIA had a return on equity of 113.50% and a net margin of 55.04%. The company’s revenue was up 122.4% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.25 earnings per share. Research analysts predict that NVIDIA Co. will post 2.64 EPS for the current fiscal year.

NVIDIA Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 3rd. Shareholders of record on Thursday, September 12th will be issued a $0.01 dividend. This represents a $0.04 dividend on an annualized basis and a yield of 0.04%. The ex-dividend date of this dividend is Thursday, September 12th. NVIDIA’s payout ratio is 2.34%.

NVIDIA declared that its Board of Directors has authorized a stock repurchase plan on Wednesday, August 28th that authorizes the company to buyback $50.00 billion in outstanding shares. This buyback authorization authorizes the computer hardware maker to reacquire up to 1.6% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s management believes its shares are undervalued.

Insider Transactions at NVIDIA

In other NVIDIA news, insider Donald F. Robertson, Jr. sold 4,500 shares of the stock in a transaction that occurred on Friday, June 21st. The stock was sold at an average price of $128.17, for a total value of $576,765.00. Following the transaction, the insider now owns 503,878 shares in the company, valued at $64,582,043.26. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. In other news, Director Mark A. Stevens sold 385,000 shares of the stock in a transaction that occurred on Tuesday, July 9th. The stock was sold at an average price of $130.74, for a total value of $50,334,900.00. Following the completion of the sale, the director now directly owns 9,141,240 shares of the company’s stock, valued at $1,195,125,717.60. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Donald F. Robertson, Jr. sold 4,500 shares of NVIDIA stock in a transaction that occurred on Friday, June 21st. The shares were sold at an average price of $128.17, for a total value of $576,765.00. Following the transaction, the insider now directly owns 503,878 shares in the company, valued at approximately $64,582,043.26. The disclosure for this sale can be found here. Insiders have sold 3,845,633 shares of company stock valued at $465,330,122 in the last 90 days. 4.23% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On NVIDIA

Institutional investors and hedge funds have recently bought and sold shares of the stock. Baader Bank Aktiengesellschaft grew its position in NVIDIA by 34.9% in the 4th quarter. Baader Bank Aktiengesellschaft now owns 44,214 shares of the computer hardware maker’s stock worth $21,896,000 after purchasing an additional 11,445 shares in the last quarter. OMNI 360 Wealth Inc. purchased a new stake in shares of NVIDIA during the fourth quarter valued at approximately $240,000. Monolith Management Ltd bought a new stake in NVIDIA during the fourth quarter worth $9,483,000. Pacific Sun Financial Corp purchased a new position in NVIDIA in the fourth quarter worth $214,000. Finally, Bedel Financial Consulting Inc. grew its stake in NVIDIA by 10.7% in the 4th quarter. Bedel Financial Consulting Inc. now owns 2,262 shares of the computer hardware maker’s stock valued at $1,120,000 after purchasing an additional 219 shares during the period. 65.27% of the stock is 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.