NVIDIA (NASDAQ:NVDA) Stock Gets Price Target Reduction from BMO Capital Markets

NVIDIA (NASDAQ:NVDA) had its target price reduced by BMO Capital Markets from $340.00 to $240.00 in a research report released on Thursday,Benzinga reports. BMO Capital Markets currently has an outperform rating on the computer hardware maker’s stock.

Several other brokerages also recently weighed in on NVDA. Needham & Company LLC lowered their target price on shares of NVIDIA from $300.00 to $200.00 and set a “buy” rating on the stock in a report on Thursday. DA Davidson reissued a “buy” rating and set a $300.00 price target on shares of NVIDIA in a report on Thursday, August 27th. William Blair downgraded shares of NVIDIA from an “outperform” rating to a “market perform” rating in a research report on Thursday. HSBC raised their price objective on shares of NVIDIA from $360.00 to $365.00 in a research report on Thursday, August 27th. Finally, UBS Group reaffirmed a “buy” rating on shares of NVIDIA in a report on Friday, October 9th. Five analysts have rated the stock with a Strong Buy rating, thirty-eight have issued a Buy rating and thirteen have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $277.89.

NVIDIA Stock Performance

NVDA traded down $3.34 during trading on Thursday, hitting $162.85. The stock had a trading volume of 363,372,273 shares, compared to its average volume of 196,617,360. 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 firm has a market capitalization of $3.92 trillion, a P/E ratio of 20.59, a PEG ratio of 1.28 and a beta of 2.21. The company’s 50-day moving average price is $214.64 and its 200 day moving average price is $204.12. NVIDIA has a twelve month low of $148.80 and a twelve month high of $243.37.

NVIDIA (NASDAQ:NVDA) last announced 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 during the quarter, compared to the consensus estimate of $92.27 billion. NVIDIA had a net margin of 63.66% and a return on equity of 96.04%. NVIDIA’s quarterly revenue was up 105.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.05 EPS. On average, equities research analysts forecast that NVIDIA will post 9.29 EPS for the current fiscal year.

NVIDIA announced that its Board of Directors has approved a stock repurchase program on Monday, September 28th that authorizes the company to buy back $150 billion in shares. This buyback authorization authorizes the computer hardware maker to purchase up to 2.8% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board believes its stock is undervalued.

NVIDIA Announces Dividend

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

Insider Transactions at NVIDIA

In other news, CFO Colette Kress sold 34,918 shares of the company’s stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $219.05, for a total transaction of $7,648,787.90. Following the transaction, the chief financial officer directly owned 765,103 shares of the company’s stock, valued at $167,595,812.15. This represents a 4.36% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark Stevens sold 622,239 shares of the stock in a transaction dated Friday, September 4th. The shares were sold at an average price of $231.62, for a total transaction of $144,122,997.18. Following the completion of the transaction, the director owned 2,336,531 shares of the company’s stock, valued at $541,187,310.22. This represents a 21.03% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 1,766,118 shares of company stock valued at $399,450,353 in the last ninety days. 3.94% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in NVDA. White Lighthouse Investment Management Inc. boosted its position in NVIDIA by 0.9% during the 3rd quarter. White Lighthouse Investment Management Inc. now owns 5,304 shares of the computer hardware maker’s stock worth $1,211,000 after purchasing an additional 46 shares during the period. Retirement Wealth Solutions LLC increased its holdings in NVIDIA by 1.2% in the 2nd quarter. Retirement Wealth Solutions LLC now owns 4,121 shares of the computer hardware maker’s stock valued at $825,000 after purchasing an additional 47 shares in the last quarter. LightSquare Wealth Management LLC increased its holdings in NVIDIA by 0.3% in the 2nd quarter. LightSquare Wealth Management LLC now owns 18,695 shares of the computer hardware maker’s stock valued at $3,741,000 after purchasing an additional 49 shares in the last quarter. CWS Financial Advisors LLC raised its position in NVIDIA by 3.1% in the third quarter. CWS Financial Advisors LLC now owns 1,653 shares of the computer hardware maker’s stock valued at $377,000 after purchasing an additional 49 shares during the period. Finally, Defender Capital LLC. raised its position in NVIDIA by 0.7% in the second quarter. Defender Capital LLC. now owns 7,534 shares of the computer hardware maker’s stock valued at $1,507,000 after purchasing an additional 50 shares during the period. 65.27% of the stock is currently owned by institutional investors and hedge funds.

NVIDIA News Summary

Investors following NVDA have been watching these news items:

• Positive Sentiment: Investors will look to the November 17 earnings report for evidence that AI demand remains robust. Articles cite strong infrastructure spending and a $108 billion revenue outlook as potential supports for the business. NVIDIA earnings preview
• Neutral Sentiment: Investors are also being urged to judge AI demand by the revenue generated from computing capacity—not just the capital companies spend to build it. That could sharpen questions about how quickly AI infrastructure investments translate into sales. Barron’s analysis of AI revenue
• Negative Sentiment: Reports connecting the leadership scandal to scrutiny of possible chip diversions to China have raised risks of regulatory action and reputational damage. The allegations remain under investigation, while U.S. lawmakers are seeking testimony. Congressional scrutiny

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.