NVIDIA (NASDAQ:NVDA) Shares Gap Down After Analyst Downgrade

Shares of NVIDIA Co. (NASDAQ:NVDA) gapped down prior to trading on Wednesday after Rosenblatt Securities lowered their price target on the stock from $220.00 to $200.00. The stock had previously closed at $112.20, but opened at $104.55. Rosenblatt Securities currently has a buy rating on the stock. NVIDIA shares last traded at $105.49, with a volume of 83,601,576 shares.

Other research analysts have also recently issued research reports about the stock. Needham & Company LLC restated a “buy” rating and issued a $160.00 price objective on shares of NVIDIA in a research report on Wednesday, March 19th. William Blair reissued an “outperform” rating on shares of NVIDIA in a research note on Thursday, March 20th. Raymond James reduced their price target on NVIDIA from $170.00 to $150.00 and set a “strong-buy” rating for the company in a research report on Wednesday. Wedbush restated an “outperform” rating and set a $175.00 target price on shares of NVIDIA in a report on Wednesday. Finally, Susquehanna restated a “positive” rating and issued a $180.00 price objective on shares of NVIDIA in a research note on Wednesday, March 19th. Six analysts have rated the stock with a hold rating, thirty-six have given a buy rating and two have issued a strong buy rating to the company. According to MarketBeat, NVIDIA currently has a consensus rating of “Moderate Buy” and a consensus target price of $165.64.

Insiders Place Their Bets

In other news, CFO Colette Kress sold 66,660 shares of the business’s stock in a transaction dated Friday, March 21st. The shares were sold at an average price of $116.83, for a total transaction of $7,787,887.80. Following the transaction, the chief financial officer now directly owns 3,085,765 shares in the company, valued at $360,509,924.95. The trade was a 2.11 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Aarti S. Shah sold 20,000 shares of the firm’s stock in a transaction on Thursday, March 20th. The shares were sold at an average price of $118.42, for a total value of $2,368,400.00. Following the completion of the sale, the director now directly owns 53,208 shares of the company’s stock, valued at approximately $6,300,891.36. This trade represents a 27.32 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 147,147 shares of company stock valued at $17,133,207 in the last ninety days. Insiders own 4.23% of the company’s stock.

Hedge Funds Weigh In On NVIDIA

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Tacita Capital Inc acquired a new position in NVIDIA in the fourth quarter valued at $28,000. Legend Financial Advisors Inc. purchased a new stake in shares of NVIDIA during the 4th quarter worth about $34,000. Vision Financial Markets LLC acquired a new stake in shares of NVIDIA in the fourth quarter worth $38,000. Luken Investment Analytics LLC purchased a new position in NVIDIA in the fourth quarter valued at about $40,000. Finally, Lowe Wealth Advisors LLC acquired a new position in NVIDIA during the 4th quarter worth approximately $46,000. Institutional investors and hedge funds own 65.27% of the company’s stock.

NVIDIA Stock Down 6.9 %

The firm’s 50 day moving average price is $117.83 and its two-hundred day moving average price is $130.03. The company has a quick ratio of 3.64, a current ratio of 4.10 and a debt-to-equity ratio of 0.13. The firm has a market capitalization of $2.55 trillion, a PE ratio of 41.12, a P/E/G ratio of 1.76 and a beta of 1.96.

NVIDIA (NASDAQ:NVDA) last issued its earnings results on Wednesday, February 26th. The computer hardware maker reported $0.89 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.84 by $0.05. The firm had revenue of $39.33 billion for the quarter, compared to analysts’ expectations of $38.16 billion. NVIDIA had a net margin of 55.69% and a return on equity of 114.83%. As a group, research analysts forecast that NVIDIA Co. will post 2.77 EPS for the current fiscal year.

NVIDIA Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, April 2nd. Shareholders of record on Wednesday, March 12th were given a $0.01 dividend. The ex-dividend date was Wednesday, March 12th. This represents a $0.04 dividend on an annualized basis and a yield of 0.04%. NVIDIA’s dividend payout ratio (DPR) is 1.36%.

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.