NVIDIA (NASDAQ:NVDA) Trading Down 1% – Should You Sell?

NVIDIA Corporation (NASDAQ:NVDA) fell 1% on Wednesday . The company traded as low as $179.11 and last traded at $179.59. 161,753,569 shares were traded during trading, a decline of 28% from the average session volume of 225,533,375 shares. The stock had previously closed at $181.46.

Analyst Ratings Changes

Several analysts have recently issued reports on the company. Rothschild & Co Redburn increased their price objective on NVIDIA from $211.00 to $245.00 and gave the company a “buy” rating in a research note on Monday, November 17th. Needham & Company LLC restated a “buy” rating and set a $240.00 price objective on shares of NVIDIA in a research report on Thursday, November 20th. DZ Bank reaffirmed a “buy” rating on shares of NVIDIA in a report on Thursday, November 20th. Susquehanna lifted their target price on shares of NVIDIA from $230.00 to $250.00 and gave the company a “positive” rating in a report on Thursday, November 20th. Finally, Morgan Stanley boosted their target price on NVIDIA from $235.00 to $250.00 and gave the stock an “overweight” rating in a research report on Monday. Five research analysts have rated the stock with a Strong Buy rating, forty-six have assigned a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, NVIDIA presently has a consensus rating of “Buy” and a consensus price target of $258.65.

NVIDIA Stock Performance

The company has a current ratio of 4.47, a quick ratio of 3.71 and a debt-to-equity ratio of 0.06. The stock’s 50 day moving average is $187.05 and its 200 day moving average is $171.50. The stock has a market capitalization of $4.43 trillion, a price-to-earnings ratio of 45.26, a PEG ratio of 0.90 and a beta of 2.29.

NVIDIA (NASDAQ:NVDA) last posted its quarterly earnings data 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. The firm had revenue of $57.01 billion during the quarter, compared to analysts’ expectations of $54.66 billion. NVIDIA had a return on equity of 99.24% and a net margin of 53.01%.The firm’s quarterly revenue was up 62.5% compared to the same quarter last year. During the same quarter last year, the business posted $0.81 EPS. On average, analysts predict that NVIDIA Corporation will post 2.77 earnings per share for the current year.

NVIDIA Announces Dividend

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

Insider Activity

In related news, Director Mark A. Stevens sold 350,000 shares of the firm’s stock in a transaction on Friday, September 19th. The stock was sold at an average price of $176.39, for a total transaction of $61,736,500.00. Following the transaction, the director directly owned 7,399,803 shares in the company, valued at $1,305,251,251.17. This trade represents a 4.52% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO Jen Hsun Huang sold 75,000 shares of the firm’s stock in a transaction that occurred on Wednesday, September 10th. The stock was sold at an average price of $177.57, for a total value of $13,317,750.00. Following the completion of the sale, the chief executive officer directly owned 72,248,366 shares in the company, valued at approximately $12,829,142,350.62. This trade represents a 0.10% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 2,949,931 shares of company stock valued at $531,605,955. Company insiders own 4.17% of the company’s stock.

Institutional Trading of NVIDIA

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. State Street Corp increased its stake in shares of NVIDIA by 1.0% in the second quarter. State Street Corp now owns 978,208,862 shares of the computer hardware maker’s stock worth $154,556,803,000 after purchasing an additional 9,554,857 shares during the period. Geode Capital Management LLC raised its position in NVIDIA by 1.5% in the second quarter. Geode Capital Management LLC now owns 579,213,497 shares of the computer hardware maker’s stock worth $91,150,170,000 after purchasing an additional 8,521,936 shares in the last quarter. Kingstone Capital Partners Texas LLC lifted its position in shares of NVIDIA by 267,959.7% during the 2nd quarter. Kingstone Capital Partners Texas LLC now owns 382,373,765 shares of the computer hardware maker’s stock worth $64,976,521,000 after buying an additional 382,231,120 shares during the period. Norges Bank acquired a new stake in shares of NVIDIA during the 2nd quarter worth about $51,386,863,000. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in shares of NVIDIA by 2.9% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 206,794,926 shares of the computer hardware maker’s stock valued at $22,412,434,000 after acquiring an additional 5,896,735 shares during the last quarter. 65.27% of the stock is owned by institutional investors and hedge funds.

NVIDIA Company Profile

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.