NVIDIA (NASDAQ:NVDA) Trading Up 2.9% – Still a Buy?

NVIDIA Corporation (NASDAQ:NVDA)’s stock price rose 2.9% during trading on Monday . The stock traded as high as $208.74 and last traded at $206.64. Approximately 127,737,949 shares traded hands during mid-day trading, a decline of 22% from the average session volume of 163,869,625 shares. The stock had previously closed at $200.75.

NVIDIA News Roundup

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Accelerating capital spending by major cloud providers is supporting demand for NVIDIA’s latest liquid-cooled Blackwell systems. Investors remain optimistic that NVIDIA will continue benefiting from the AI data-center buildout ahead of its next earnings report. Nvidia stock climbs 3% as AI infrastructure demand boosts investor sentiment
• Positive Sentiment: NVIDIA’s history of exceeding analyst estimates, combined with favorable earnings-revision trends, has increased confidence in another quarterly beat. Its latest reported quarter included $81.6 billion of revenue, up 85% year over year, with data-center revenue up 92%. Will Nvidia Beat Estimates Again in Its Next Earnings Report?
• Positive Sentiment: Analysts and bullish commentators point to substantial Blackwell and Rubin demand, including reported bookings covering 2025 and 2026 and estimates that NVIDIA could surpass $1 trillion in cumulative chip sales through 2027. NVIDIA Has $500 Billion in AI Chip Bookings
• Positive Sentiment: NVIDIA remains the dominant supplier to hyperscalers, with Alphabet and Amazon’s results highlighting the large amounts they are spending on NVIDIA hardware. This reinforces near-term revenue visibility, although it also raises questions about customer returns on AI investments. The Nvidia Tax

Analysts Set New Price Targets

A number of analysts have issued reports on the company. Royal Bank Of Canada set a $280.00 price target on NVIDIA in a report on Thursday, May 21st. Citigroup started coverage on NVIDIA in a research report on Wednesday, April 15th. They set a “buy” rating on the stock. Wall Street Zen cut NVIDIA from a “strong-buy” rating to a “buy” rating in a research note on Saturday, July 4th. Cantor Fitzgerald reaffirmed an “overweight” rating and issued a $350.00 price target on shares of NVIDIA in a report on Thursday, May 21st. Finally, BTIG Research initiated coverage on shares of NVIDIA in a research note on Wednesday, April 15th. They issued a “buy” rating on the stock. Three equities research analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Buy” and a consensus price target of $304.26.

NVIDIA Price Performance

The company has a debt-to-equity ratio of 0.04, a current ratio of 3.44 and a quick ratio of 2.85. The firm has a market cap of $5.00 trillion, a price-to-earnings ratio of 31.64, a PEG ratio of 0.39 and a beta of 2.21. The stock has a 50-day moving average price of $205.41 and a 200 day moving average price of $196.20.

NVIDIA (NASDAQ:NVDA) last released its quarterly earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, topping the consensus estimate of $1.76 by $0.11. The company had revenue of $81.61 billion for the quarter, compared to analyst estimates of $78.42 billion. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The firm’s revenue was up 85.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.81 earnings per share. As a group, equities research analysts forecast that NVIDIA Corporation will post 8.79 earnings per share for the current fiscal year.

NVIDIA Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Thursday, June 4th were given a $0.25 dividend. This is a positive change from NVIDIA’s previous quarterly dividend of $0.01. The ex-dividend date was Thursday, June 4th. This represents a $1.00 annualized dividend and a yield of 0.5%. NVIDIA’s payout ratio is currently 15.31%.

NVIDIA announced that its Board of Directors has authorized a share buyback program on Wednesday, May 20th that allows the company to buyback $80.00 billion in shares. This buyback authorization allows the computer hardware maker to reacquire up to 1.5% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s board of directors believes its shares are undervalued.

Insiders Place Their Bets

In other news, Director Stephen C. Neal sold 15,500 shares of the stock in a transaction dated Wednesday, June 3rd. The shares were sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the completion of the sale, the director owned 116,135 shares in the company, valued at approximately $25,053,803.55. This represents a 11.77% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Mark A. Stevens sold 885,000 shares of the firm’s stock in a transaction dated Thursday, June 18th. The stock was sold at an average price of $210.17, for a total value of $186,000,450.00. Following the transaction, the director directly owned 5,207,271 shares in the company, valued at approximately $1,094,412,146.07. This represents a 14.53% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 1,901,125 shares of company stock valued at $410,583,015. Insiders own 3.94% of the company’s stock.

Institutional Trading of NVIDIA

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Lifetime Wealth Management P.C. acquired a new stake in shares of NVIDIA in the 4th quarter worth $26,000. Longview Financial Advisors Inc. acquired a new position in shares of NVIDIA during the first quarter worth about $27,000. Longfellow Investment Management Co. LLC raised its holdings in NVIDIA by 47.9% during the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock worth $33,000 after purchasing an additional 67 shares in the last quarter. Phillip James Consulting Co. acquired a new stake in NVIDIA in the first quarter valued at about $40,000. Finally, Spurstone Advisory Services LLC acquired a new stake in NVIDIA in the second quarter valued at about $40,000. 65.27% of the stock is owned by hedge funds and other institutional investors.

NVIDIA Company Profile

NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.

The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.