NVIDIA (NASDAQ:NVDA) Stock Jumps 2.9% – Time to Buy?

NVIDIA Corporation (NASDAQ:NVDA) shares traded up 2.9% on Wednesday. The company traded as high as $177.54 and last traded at $173.73. Approximately 267,044,548 shares traded hands during trading, an increase of 75% from the average session volume of 152,563,109 shares. The stock had previously closed at $168.89.

Key Stories Impacting NVIDIA

Here are a few of the latest stories about NVDA:

• Positive Sentiment: Some analysts still see substantial upside: Morgan Stanley maintained its Overweight rating and $300 target, while other bullish commentary points to demand and the upcoming earnings report as potential supports. Analysts differ on Nvidia after price target cut
• Neutral Sentiment: NVIDIA’s Nov. 17 earnings are a key near-term test of AI demand and growth expectations. Investors will weigh results against a more cautious outlook for 2027 spending. Nvidia earnings and market impact
• Negative Sentiment: Governance and regulatory concerns remain central. The board is investigating reports concerning Huang and an alleged Chinese intelligence connection; Congress is reportedly preparing to question him. Separate reports allege restricted NVIDIA chips reached Chinese entities, including a university on a U.S. blacklist. The allegations have not been established, but could increase export-control and legal risks. Congress to call Jensen Huang

Analyst Ratings Changes

A number of equities analysts have recently commented on the stock. Melius Research reduced their price objective on shares of NVIDIA from $420.00 to $315.00 and set a “buy” rating for the company in a report on Monday, November 2nd. Wells Fargo & Company lowered their target price on shares of NVIDIA from $315.00 to $300.00 and set an “overweight” rating on the stock in a research note on Tuesday. Daiwa Securities Group dropped their price target on shares of NVIDIA from $255.00 to $245.00 and set an “outperform” rating for the company in a research report on Thursday, September 17th. Oppenheimer set a $315.00 price target on shares of NVIDIA and gave the stock an “outperform” rating in a research note on Thursday, August 27th. Finally, Cantor Fitzgerald reaffirmed an “overweight” rating and set a $350.00 price objective on shares of NVIDIA in a report on Thursday, October 1st. Five research analysts have rated the stock with a Strong Buy rating, forty-six have given a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Buy” and a consensus price target of $314.24.

NVIDIA Trading Up 2.9%

The company has a 50-day simple moving average of $217.99 and a 200-day simple moving average of $204.42. The company has a debt-to-equity ratio of 0.14, a quick ratio of 3.85 and a current ratio of 4.59. The stock has a market cap of $4.19 trillion, a P/E ratio of 21.96, a P/E/G ratio of 1.37 and a beta of 2.21.

NVIDIA (NASDAQ:NVDA) last posted its quarterly earnings data on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, topping analysts’ consensus estimates of $2.09 by $0.13. The company had revenue of $96.22 billion for the quarter, compared to analyst estimates of $92.27 billion. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%. The business’s revenue was up 105.9% on a year-over-year basis. During the same quarter in the previous year, the firm earned $1.05 earnings per share. On average, sell-side analysts forecast that NVIDIA Corporation will post 9.30 EPS for the current fiscal year.

NVIDIA Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Investors of record on Thursday, September 10th were given a dividend of $0.25 per share. The ex-dividend date was Thursday, September 10th. This represents a $1.00 annualized dividend and a yield of 0.6%. NVIDIA’s dividend payout ratio is 12.64%.

NVIDIA announced that its board has approved a stock buyback plan on Monday, September 28th that authorizes the company to buy back $150 billion in shares. This buyback authorization authorizes the computer hardware maker to repurchase up to 2.8% of its shares through open market purchases. Share buyback plans are usually a sign that the company’s board of directors believes its shares are undervalued.

Insiders Place Their Bets

In other news, Director Mark A. Stevens sold 622,239 shares of the business’s stock in a transaction on Friday, September 4th. The stock was sold at an average price of $231.62, for a total transaction of $144,122,997.18. Following the completion of the sale, the director owned 2,336,531 shares in the company, valued at $541,187,310.22. The trade was a 21.03% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, EVP Timothy S. Teter sold 30,460 shares of the company’s stock in a transaction on Monday, September 21st. The shares were sold at an average price of $222.80, for a total value of $6,786,488.00. Following the transaction, the executive vice president directly owned 2,687,660 shares in the company, valued at $598,810,648. This trade represents a 1.12% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 1,766,118 shares of company stock valued at $399,450,353. 3.94% of the stock is currently owned by corporate insiders.

Institutional Trading of NVIDIA

Several institutional investors and hedge funds have recently added to or reduced their stakes in NVDA. Red Oak Financial Group LLC acquired a new stake in NVIDIA in the third quarter worth $361,000. Mayflower Financial Advisors LLC increased its position in shares of NVIDIA by 1.7% in the 3rd quarter. Mayflower Financial Advisors LLC now owns 70,944 shares of the computer hardware maker’s stock valued at $16,202,000 after buying an additional 1,199 shares in the last quarter. Advisors Asset Management Inc. acquired a new stake in NVIDIA during the 3rd quarter worth $41,937,000. NFC Investments LLC acquired a new stake in NVIDIA during the 3rd quarter worth $309,000. Finally, Edmond DE Rothschild Holding S.A. raised its stake in NVIDIA by 8.4% during the 3rd quarter. Edmond DE Rothschild Holding S.A. now owns 1,667,870 shares of the computer hardware maker’s stock worth $380,908,000 after buying an additional 129,920 shares during the period. 65.27% of the stock is owned by institutional investors.

About NVIDIA

NVIDIA Corporation develops graphics processing units (GPUs), accelerated computing platforms and related software. Founded in 1993, the company first became widely known for GPUs used in PC gaming and professional graphics. Its technology now also supports artificial intelligence, scientific computing and other data-intensive applications. NVIDIA’s offerings include GeForce products for gaming, data-center GPUs and systems for AI workloads, and networking products that connect computing infrastructure.