NVIDIA’s (NVDA) “Buy” Rating Reiterated at DA Davidson

NVIDIA (NASDAQ:NVDA)‘s stock had its “buy” rating reissued by equities research analysts at DA Davidson in a research report issued to clients and investors on Thursday,Benzinga reports. They presently have a $300.00 target price on the computer hardware maker’s stock. DA Davidson’s price objective suggests a potential upside of 43.09% from the stock’s previous close.

Several other equities research analysts also recently commented on the stock. Rothschild & Co Redburn upped their target price on shares of NVIDIA from $280.00 to $300.00 and gave the company a “buy” rating in a research note on Tuesday, May 26th. Bank of America reaffirmed a “buy” rating and set a $350.00 price objective (up from $320.00) on shares of NVIDIA in a research note on Thursday, May 21st. Deutsche Bank Aktiengesellschaft restated a “hold” rating and issued a $255.00 price target (up from $220.00) on shares of NVIDIA in a report on Thursday, May 21st. William Blair reiterated an “outperform” rating on shares of NVIDIA in a research report on Tuesday, June 2nd. Finally, Cantor Fitzgerald reissued an “overweight” rating and set a $350.00 price objective on shares of NVIDIA in a research report on Monday. One equities research analyst has rated the stock with a Strong Buy rating, forty-nine have given a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $317.03.

NVIDIA Trading Down 1.6%

NASDAQ:NVDA opened at $209.66 on Thursday. The company has a current ratio of 3.44, a quick ratio of 2.85 and a debt-to-equity ratio of 0.04. NVIDIA has a 1-year low of $164.07 and a 1-year high of $236.54. The firm has a market capitalization of $5.07 trillion, a price-to-earnings ratio of 32.11, a PEG ratio of 0.42 and a beta of 2.23. The business’s 50-day moving average price is $207.61 and its two-hundred day moving average price is $200.35.

NVIDIA (NASDAQ:NVDA) last posted its earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.09 by $0.13. The company had revenue of $96.22 billion during the quarter, compared to analyst estimates of $92.27 billion. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The company’s revenue for the quarter was up 105.9% compared to the same quarter last year. During the same period in the previous year, the company earned $1.05 EPS. On average, equities analysts expect that NVIDIA will post 8.8 earnings per share for the current year.

NVIDIA declared that its board has authorized a stock repurchase plan on Wednesday, May 20th that permits the company to repurchase $80.00 billion in shares. This repurchase authorization permits the computer hardware maker to repurchase up to 1.5% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company’s management believes its shares are undervalued.

Insiders Place Their Bets

In other news, Director Stephen C. Neal sold 15,500 shares of NVIDIA stock in a transaction dated Wednesday, June 3rd. The shares were sold at an average price of $215.73, for a total value of $3,343,815.00. Following the completion of the transaction, the director owned 116,135 shares of the company’s stock, valued at $25,053,803.55. This trade represents a 11.77% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Mark A. Stevens sold 885,000 shares of NVIDIA stock in a transaction dated Thursday, June 18th. The shares were sold at an average price of $210.17, for a total transaction of $186,000,450.00. Following the completion of the transaction, the director directly owned 5,207,271 shares of the company’s stock, valued at approximately $1,094,412,146.07. This trade represents a 14.53% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 1,900,500 shares of company stock worth $410,449,265. 3.94% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On NVIDIA

Hedge funds have recently bought and sold shares of the company. Lifetime Wealth Management P.C. acquired a new stake in shares of NVIDIA in the fourth quarter valued at approximately $26,000. Longview Financial Advisors Inc. acquired a new position in shares of NVIDIA during the 1st quarter worth approximately $27,000. Montgomery Financial Services LLC bought a new stake in NVIDIA in the 2nd quarter valued at $28,000. Longfellow Investment Management Co. LLC raised its stake in NVIDIA by 47.9% in the 2nd quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock valued at $33,000 after acquiring an additional 67 shares during the period. Finally, Langley Wealth Management LLC acquired a new stake in NVIDIA during the 2nd quarter valued at $34,000. 65.27% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: Record results exceeded expectations: Fiscal Q2 revenue reached $96.2 billion, up 106% year over year, while non-GAAP EPS of $2.22 topped the $2.09 consensus estimate. Data Center revenue rose 117% to $89.0 billion, and GAAP gross margin was a robust 75%. NVIDIA fiscal second-quarter results
• Positive Sentiment: Strong forward outlook: NVIDIA forecast approximately $108 billion in fiscal Q3 revenue, above Wall Street expectations, and indicated roughly 70% fiscal 2028 revenue growth versus analyst expectations near 45%. CEO Jensen Huang said AI infrastructure demand is accelerating and the buildout is “at full steam.” NVIDIA signals longer AI spending runway
• Positive Sentiment: Customer demand remains substantial: Amazon Web Services and NVIDIA announced plans to deploy an additional two million GPUs, while the company highlighted production ramps for its Vera Rubin platform and continued hyperscaler adoption. AWS expands NVIDIA GPU order
• Positive Sentiment: Analyst support strengthened: Needham raised its price target to $300 and maintained a Buy rating; other firms also lifted targets following the results. Investors continue to view NVDA’s growth and valuation as attractive relative to its earnings trajectory. Needham raises NVIDIA price target
• Neutral Sentiment: Potential Hugging Face acquisition: Reports say NVIDIA may acquire open-source AI platform Hugging Face for approximately $12.9 billion to expand its software and developer ecosystem. However, the reports indicate discussions may not be finalized, and the price would represent a substantial premium to Hugging Face’s prior valuation. NVIDIA reportedly agrees to buy Hugging Face
• Negative Sentiment: Margins are expected to soften: NVIDIA guided fiscal Q3 gross margin to 74%, below the latest quarter’s 75%, as memory, advanced packaging and power constraints pressure costs. Investors are watching whether higher spending and supply investments could limit profitability.
• Negative Sentiment: Risks remain around China, competition and financing: The forecast assumes no Data Center compute revenue from China. Meanwhile, custom chips from OpenAI and Microsoft could gradually reduce hyperscaler reliance on NVIDIA, while the company’s investments and customer-financing initiatives have prompted concerns about circular financing and return on investment. Jensen Huang discusses NVIDIA AI investments

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.