NVIDIA Corporation (NASDAQ:NVDA) to Issue Dividend Increase – $0.25 Per Share

NVIDIA Corporation (NASDAQ:NVDA) announced a quarterly dividend on Wednesday, May 20th. Stockholders of record on Thursday, June 4th will be given a dividend of 0.25 per share by the computer hardware maker on Friday, June 26th. This represents a c) dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date is Thursday, June 4th. This is a 2,400.0% increase from NVIDIA’s previous quarterly dividend of $0.01.

NVIDIA has increased its dividend by an average of 0.1%per year over the last three years and has raised its dividend annually for the last 1 consecutive years. NVIDIA has a dividend payout ratio of 0.7% indicating that its dividend is sufficiently covered by earnings. Research analysts expect NVIDIA to earn $10.51 per share next year, which means the company should continue to be able to cover its $0.04 annual dividend with an expected future payout ratio of 0.4%.

NVIDIA Stock Up 1.3%

NASDAQ:NVDA opened at $223.47 on Thursday. The firm’s 50-day moving average price is $194.82 and its 200-day moving average price is $188.75. The company has a market capitalization of $5.41 trillion, a PE ratio of 45.61, a P/E/G ratio of 0.69 and a beta of 2.25. The company has a debt-to-equity ratio of 0.05, a current ratio of 3.91 and a quick ratio of 3.24. NVIDIA has a 1-year low of $129.16 and a 1-year high of $236.54.

NVIDIA (NASDAQ:NVDA) last released its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. The firm had revenue of $81.62 billion for the quarter, compared to the consensus estimate of $78.42 billion. NVIDIA had a net margin of 55.60% and a return on equity of 97.37%. The company’s revenue was up 85.2% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.81 EPS. On average, equities analysts predict that NVIDIA will post 7.85 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CFO Colette Kress sold 42,650 shares of the company’s stock in a transaction dated 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 transaction, the chief financial officer owned 881,387 shares in the company, valued at $154,145,772.43. The trade was a 4.62% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Aarti S. Shah sold 19,000 shares of the company’s stock in a transaction dated 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 completion of the transaction, the director owned 36,007 shares in the company, valued at approximately $6,362,796.97. The trade was a 34.54% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 906,336 shares of company stock worth $162,802,518 over the last quarter. 4.17% of the stock is owned by insiders.

Hedge Funds Weigh In On NVIDIA

Several hedge funds and other institutional investors have recently bought and sold shares of NVDA. Diversified Enterprises LLC boosted its holdings in NVIDIA by 44.2% in the fourth quarter. Diversified Enterprises LLC now owns 127,604 shares of the computer hardware maker’s stock valued at $23,798,000 after purchasing an additional 39,129 shares during the last quarter. PMG Family Office LLC purchased a new position in NVIDIA in the third quarter valued at about $2,150,000. Oak Ridge Investments LLC boosted its holdings in NVIDIA by 2.2% in the third quarter. Oak Ridge Investments LLC now owns 970,860 shares of the computer hardware maker’s stock valued at $181,143,000 after purchasing an additional 20,559 shares during the last quarter. Weaver Capital Management LLC boosted its holdings in NVIDIA by 5.5% in the fourth quarter. Weaver Capital Management LLC now owns 85,216 shares of the computer hardware maker’s stock valued at $15,893,000 after purchasing an additional 4,439 shares during the last quarter. Finally, Circle Wealth Management LLC boosted its holdings in NVIDIA by 16.1% in the third quarter. Circle Wealth Management LLC now owns 107,787 shares of the computer hardware maker’s stock valued at $20,111,000 after purchasing an additional 14,936 shares during the last quarter. Institutional investors 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.