NVIDIA (NASDAQ:NVDA) Trading Down 2.2% – Here’s Why

NVIDIA Corporation (NASDAQ:NVDA) shares fell 2.2% during trading on Friday . The stock traded as low as $167.01 and last traded at $167.52. 194,399,048 shares changed hands during trading, an increase of 8% from the average session volume of 180,517,938 shares. The stock had previously closed at $171.24.

More NVIDIA News

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Analyst/valuation support: Multiple pieces argue NVDA is trading cheaply vs. its growth profile and some brokers/analysts reiterated buys or raised long‑term estimates, providing a buy‑the‑dip narrative that could attract value buyers. 5 April Buys With Double-Digit Year-End Targets
• Positive Sentiment: Enterprise deployments and partnerships expand demand: NVIDIA’s tech is being embedded across industries (energy partnership with SLB, healthcare deployments and HGX systems for regional AI factories), which supports recurring data‑center GPU demand beyond hyperscalers. SLB expands Nvidia partnership to develop AI infrastructure for energy sector
• Positive Sentiment: Ecosystem capital: A Reuters report that a Nvidia‑backed startup (Reflection) is seeking a large funding round signals continued investor appetite for NVDA‑adjacent AI ecosystems that can drive future software and services spend tied to NVIDIA hardware. Nvidia-backed Reflection AI eyes $25 billion valuation, WSJ reports
• Neutral Sentiment: Valuation narrative shifts: Several outlets note NVDA’s forward multiple has compressed (trading near S&P valuation levels), which can be read as either a buying opportunity or a signal that the market is discounting growth — the net impact depends on investor time horizon. Nvidia (NVDA) Stock Trades Below S&P 500 Valuation for First Time in Over a Decade
• Negative Sentiment: Regulatory/export risk: Senators have pushed to pause NVIDIA export licenses after DOJ charges in an alleged AI‑chip diversion/smuggling case — any tighter export controls would directly reduce addressable revenue from China and adjacent markets. Senators Push to Freeze Nvidia Export Licenses
• Negative Sentiment: Legal and reputational headwinds: A revived class‑action/lawsuit environment and separate suits tied to alleged undisclosed revenues or compliance issues increase near‑term legal risk and uncertainty for guidance/controls. Super Micro Computer Hit With Securities Fraud Lawsuit
• Negative Sentiment: Geopolitical/supply‑chain concentration: Analysts warn war risk (Iran/Taiwan tensions) could hit NVDA because most advanced GPUs are manufactured at TSMC in Taiwan; heightened geopolitical risk compresses multiples and prompts sectorwide selling. Nvidia Share Price Could Be Hit Hard By Iran War
• Negative Sentiment: Insider selling and short‑term uncertainty: Director share sales and vocal skeptics (media/pundits warning of dramatic downside) add to near‑term caution and can amplify momentum selling. NVIDIA Director Sells $38.5M in Stock

Analyst Upgrades and Downgrades

Several brokerages recently weighed in on NVDA. BNP Paribas Exane boosted their target price on NVIDIA from $260.00 to $270.00 and gave the stock an “outperform” rating in a research note on Thursday, February 26th. Wells Fargo & Company reissued an “overweight” rating on shares of NVIDIA in a report on Monday, December 29th. Benchmark restated a “buy” rating and set a $250.00 price target on shares of NVIDIA in a research note on Tuesday, March 17th. Sanford C. Bernstein upped their price objective on shares of NVIDIA from $275.00 to $300.00 and gave the company an “outperform” rating in a report on Thursday, February 26th. Finally, Royal Bank Of Canada reaffirmed an “outperform” rating and issued a $250.00 price objective on shares of NVIDIA in a research report on Tuesday, March 17th. Four investment analysts have rated the stock with a Strong Buy rating, forty-seven have given a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Buy” and an average target price of $275.95.

NVIDIA Stock Down 2.2%

The firm has a market capitalization of $4.07 trillion, a price-to-earnings ratio of 34.19, a price-to-earnings-growth ratio of 0.56 and a beta of 2.33. The company has a debt-to-equity ratio of 0.05, a current ratio of 3.91 and a quick ratio of 3.24. The business has a fifty day moving average price of $183.42 and a two-hundred day moving average price of $184.34.

NVIDIA (NASDAQ:NVDA) last released its earnings results on Wednesday, February 25th. The computer hardware maker reported $1.62 EPS for the quarter, topping analysts’ consensus estimates of $1.54 by $0.08. The firm had revenue of $68.13 billion during the quarter, compared to the consensus estimate of $65.56 billion. NVIDIA had a return on equity of 97.37% and a net margin of 55.60%.The company’s revenue was up 73.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.89 earnings per share. On average, equities analysts expect that NVIDIA Corporation will post 2.77 earnings per share for the current year.

NVIDIA Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Stockholders of record on Wednesday, March 11th will be issued a $0.01 dividend. This represents a $0.04 annualized dividend and a dividend yield of 0.0%. The ex-dividend date of this dividend is Wednesday, March 11th. NVIDIA’s dividend payout ratio is 0.82%.

Insider Transactions at NVIDIA

In other news, CFO Colette Kress sold 42,650 shares of the stock in a transaction on Friday, March 20th. The shares were sold at an average price of $174.89, for a total value of $7,459,058.50. Following the sale, the chief financial officer owned 881,387 shares in the company, valued at $154,145,772.43. This represents a 4.62% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Aarti S. Shah sold 19,000 shares of the firm’s stock in a transaction on Thursday, March 19th. The stock was sold at an average price of $176.71, for a total transaction of $3,357,490.00. Following the transaction, the director directly owned 36,007 shares of the company’s stock, valued at approximately $6,362,796.97. This trade represents a 34.54% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 1,401,616 shares of company stock valued at $253,555,407. 4.17% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On NVIDIA

Several institutional investors and hedge funds have recently modified their holdings of the stock. Center for Financial Planning Inc. raised its position in NVIDIA by 4.6% during the second quarter. Center for Financial Planning Inc. now owns 8,429 shares of the computer hardware maker’s stock worth $1,332,000 after acquiring an additional 367 shares during the period. PMG Family Office LLC acquired a new stake in shares of NVIDIA in the third quarter valued at about $2,150,000. Svenska Handelsbanken AB publ purchased a new stake in shares of NVIDIA during the third quarter worth about $37,316,000. Oak Ridge Investments LLC increased its stake in shares of NVIDIA by 2.2% during the third quarter. Oak Ridge Investments LLC now owns 970,860 shares of the computer hardware maker’s stock worth $181,143,000 after purchasing an additional 20,559 shares in the last quarter. Finally, Circle Wealth Management LLC raised its position in shares of NVIDIA by 16.1% during the 3rd quarter. Circle Wealth Management LLC now owns 107,787 shares of the computer hardware maker’s stock worth $20,111,000 after purchasing an additional 14,936 shares during the last quarter. Institutional investors and hedge funds own 65.27% of the company’s stock.

About NVIDIA

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.