NVIDIA (NASDAQ:NVDA) Trading Up 9.9% Following Earnings Beat

NVIDIA Co. (NASDAQ:NVDA) shot up 9.9% during mid-day trading on Thursday after the company announced better than expected quarterly earnings. The company traded as high as $1,047.27 and last traded at $1,043.64. 33,367,620 shares traded hands during trading, a decline of 32% from the average session volume of 49,387,723 shares. The stock had previously closed at $949.50.

The computer hardware maker reported $6.12 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.14 by $0.98. The business had revenue of $26.04 billion during the quarter, compared to analysts’ expectations of $24.59 billion. NVIDIA had a net margin of 48.85% and a return on equity of 93.61%. The business’s revenue was up 262.1% on a year-over-year basis. During the same period last year, the firm posted $0.88 earnings per share.

NVIDIA Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 28th. Investors of record on Tuesday, June 11th will be paid a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a yield of 0.04%. This is a boost from NVIDIA’s previous quarterly dividend of $0.04. NVIDIA’s dividend payout ratio (DPR) is currently 1.34%.

Wall Street Analysts Forecast Growth

Several equities analysts have recently weighed in on NVDA shares. The Goldman Sachs Group raised their price objective on shares of NVIDIA from $1,100.00 to $1,200.00 and gave the company a “buy” rating in a research report on Thursday. Loop Capital assumed coverage on shares of NVIDIA in a research report on Friday, February 16th. They issued a “buy” rating and a $1,200.00 price target on the stock. Piper Sandler Companies raised their price objective on NVIDIA to $850.00 and gave the stock an “overweight” rating in a research note on Friday, February 16th. Deutsche Bank Aktiengesellschaft boosted their target price on NVIDIA from $850.00 to $1,000.00 and gave the stock a “hold” rating in a research report on Thursday. Finally, Morgan Stanley lifted their price target on NVIDIA from $1,000.00 to $1,160.00 and gave the stock an “overweight” rating in a research note on Thursday. Four analysts have rated the stock with a hold rating, thirty-eight have given a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $1,120.95.

Insider Buying and Selling at NVIDIA

In other news, Director Mark A. Stevens sold 10,000 shares of the firm’s stock in a transaction dated Friday, February 23rd. The stock was sold at an average price of $797.57, for a total value of $7,975,700.00. Following the sale, the director now directly owns 1,124,583 shares of the company’s stock, valued at $896,933,663.31. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. In other NVIDIA news, Director Mark A. Stevens sold 5,000 shares of the firm’s stock in a transaction that occurred on Monday, February 26th. The stock was sold at an average price of $800.74, for a total value of $4,003,700.00. Following the completion of the sale, the director now owns 1,119,583 shares in the company, valued at approximately $896,494,891.42. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Mark A. Stevens sold 10,000 shares of NVIDIA stock in a transaction that occurred on Friday, February 23rd. The stock was sold at an average price of $797.57, for a total value of $7,975,700.00. Following the sale, the director now directly owns 1,124,583 shares in the company, valued at approximately $896,933,663.31. The disclosure for this sale can be found here. Insiders have sold a total of 61,278 shares of company stock worth $52,689,898 over the last 90 days. Insiders own 4.23% of the company’s stock.

Institutional Investors Weigh In On NVIDIA

A number of institutional investors have recently bought and sold shares of NVDA. Austin Wealth Management LLC lifted its holdings in shares of NVIDIA by 12.5% during the 1st quarter. Austin Wealth Management LLC now owns 1,165 shares of the computer hardware maker’s stock worth $1,106,000 after acquiring an additional 129 shares during the period. Burney Co. boosted its holdings in NVIDIA by 4.6% during the first quarter. Burney Co. now owns 27,939 shares of the computer hardware maker’s stock valued at $25,245,000 after purchasing an additional 1,228 shares in the last quarter. Cedar Point Capital Partners LLC grew its stake in shares of NVIDIA by 6.0% in the 1st quarter. Cedar Point Capital Partners LLC now owns 492 shares of the computer hardware maker’s stock valued at $445,000 after purchasing an additional 28 shares during the period. Koesten Hirschmann & Crabtree INC. acquired a new position in shares of NVIDIA in the 1st quarter worth approximately $27,000. Finally, Second Line Capital LLC lifted its position in shares of NVIDIA by 11.5% during the 1st quarter. Second Line Capital LLC now owns 2,014 shares of the computer hardware maker’s stock worth $1,820,000 after buying an additional 208 shares during the period. Institutional investors and hedge funds own 65.27% of the company’s stock.

NVIDIA Trading Up 10.1 %

The company has a 50 day moving average of $886.29 and a 200 day moving average of $696.36. The firm has a market cap of $2.57 trillion, a price-to-earnings ratio of 87.41, a price-to-earnings-growth ratio of 1.33 and a beta of 1.75. The company has a current ratio of 4.17, a quick ratio of 3.67 and a debt-to-equity ratio of 0.20.

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.