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

NVIDIA Co. (NASDAQ:NVDA)’s share price gapped down prior to trading on Wednesday after UBS Group lowered their price target on the stock from $185.00 to $180.00. The stock had previously closed at $112.20, but opened at $104.55. UBS Group currently has a buy rating on the stock. NVIDIA shares last traded at $105.49, with a volume of 83,601,576 shares trading hands.

A number of other equities research analysts also recently weighed in on the company. Barclays boosted their price target on NVIDIA from $160.00 to $175.00 and gave the company an “overweight” rating in a report on Friday, January 17th. Truist Financial increased their target price on shares of NVIDIA from $204.00 to $205.00 and gave the stock a “buy” rating in a report on Thursday, February 27th. Wedbush reaffirmed an “outperform” rating and issued a $175.00 price target on shares of NVIDIA in a report on Wednesday. Summit Insights lowered shares of NVIDIA from a “buy” rating to a “hold” rating in a research note on Thursday, February 27th. Finally, Rosenblatt Securities decreased their target price on NVIDIA from $220.00 to $200.00 and set a “buy” rating for the company in a research note on Wednesday. Six analysts have rated the stock with a hold rating, thirty-six have issued a buy rating and two have given a strong buy rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $165.51.

Insider Activity

In other NVIDIA news, Director John Dabiri sold 2,663 shares of the business’s stock in a transaction dated Monday, March 10th. The stock was sold at an average price of $110.00, for a total value of $292,930.00. Following the completion of the transaction, the director now directly owns 17,279 shares of the company’s stock, valued at approximately $1,900,690. The trade was a 13.35 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Aarti S. Shah sold 20,000 shares of the stock in a transaction dated Thursday, March 20th. The stock was 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 owns 53,208 shares of the company’s stock, valued at $6,300,891.36. This trade represents a 27.32 % decrease in their ownership of the stock. 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 quarter. Company insiders own 4.23% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of NVDA. Tacita Capital Inc acquired a new stake in shares of NVIDIA in the 4th quarter valued at about $28,000. Legend Financial Advisors Inc. acquired a new stake in NVIDIA in the 4th quarter valued at approximately $34,000. Vision Financial Markets LLC bought a new stake in NVIDIA in the 4th quarter valued at approximately $38,000. Luken Investment Analytics LLC acquired a new position in NVIDIA during the 4th quarter worth approximately $40,000. Finally, Lowe Wealth Advisors LLC bought a new position in shares of NVIDIA during the 4th quarter worth approximately $46,000. Institutional investors own 65.27% of the company’s stock.

NVIDIA Stock Performance

The stock’s 50-day moving average price is $117.19 and its 200 day moving average price is $129.89. The firm has a market cap of $2.47 trillion, a P/E ratio of 39.88, a price-to-earnings-growth ratio of 1.76 and a beta of 1.96. The company has a debt-to-equity ratio of 0.13, a current ratio of 4.10 and a quick ratio of 3.64.

NVIDIA (NASDAQ:NVDA) last issued its quarterly earnings results on Wednesday, February 26th. The computer hardware maker reported $0.89 EPS for the quarter, topping the consensus estimate 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, equities analysts predict that NVIDIA Co. will post 2.77 EPS for the current year.

NVIDIA Announces Dividend

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

About NVIDIA

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.