NVIDIA (NASDAQ:NVDA) Rating Increased to Strong-Buy at Piper Sandler

Piper Sandler upgraded shares of NVIDIA (NASDAQ:NVDA) to a strong-buy rating in a research note published on Wednesday morning,Zacks reports.

A number of other analysts have also recently issued reports on the company. New Street Research lowered their price objective on NVIDIA from $343.00 to $340.00 in a research report on Thursday, May 21st. Benchmark reaffirmed a “buy” rating and issued a $335.00 target price on shares of NVIDIA in a research report on Thursday, August 27th. Royal Bank Of Canada lifted their price target on shares of NVIDIA from $300.00 to $330.00 and gave the stock an “outperform” rating in a research note on Thursday, August 27th. Sanford C. Bernstein reissued an “outperform” rating and issued a $400.00 price target (up from $315.00) on shares of NVIDIA in a report on Thursday, August 27th. Finally, Oppenheimer set a $315.00 price objective on shares of NVIDIA and gave the company an “outperform” rating in a research note on Thursday, August 27th. Three analysts have rated the stock with a Strong Buy rating, fifty have given a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, NVIDIA presently has an average rating of “Buy” and an average target price of $324.34.

NVIDIA Stock Down 2.4%

NASDAQ NVDA opened at $218.36 on Wednesday. The company has a debt-to-equity ratio of 0.14, a quick ratio of 3.85 and a current ratio of 4.59. The firm has a 50-day simple moving average of $212.82 and a 200 day simple moving average of $203.23. NVIDIA has a twelve month low of $164.27 and a twelve month high of $236.54. The stock has a market cap of $5.26 trillion, a PE ratio of 27.61, a PEG ratio of 1.75 and a beta of 2.22.

NVIDIA (NASDAQ:NVDA) last issued its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.09 by $0.13. The firm had revenue of $96.22 billion for the quarter, compared to analyst estimates of $92.27 billion. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%.The company’s quarterly revenue was up 105.9% compared to the same quarter last year. During the same period in the previous year, the company posted $1.05 earnings per share. On average, research analysts forecast that NVIDIA will post 9.1 EPS for the current year.

NVIDIA announced that its Board of Directors has authorized a share repurchase plan on Wednesday, May 20th that authorizes the company to repurchase $80.00 billion in outstanding shares. This repurchase authorization authorizes the computer hardware maker to repurchase up to 1.5% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board of directors believes its stock is undervalued.

NVIDIA Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Thursday, September 10th will be given a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date is Thursday, September 10th. NVIDIA’s dividend payout ratio is 12.64%.

Insiders Place Their Bets

In other news, Director Mark Stevens sold 885,000 shares of the business’s stock in a transaction on Thursday, June 18th. The shares were sold at an average price of $210.17, for a total value of $186,000,450.00. Following the sale, the director owned 5,207,271 shares in the company, valued at approximately $1,094,412,146.07. The trade was a 14.53% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Timothy Teter sold 30,000 shares of the company’s stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $217.88, for a total transaction of $6,536,400.00. Following the completion of the sale, the executive vice president directly owned 2,687,660 shares in the company, valued at approximately $585,587,360.80. The trade was a 1.10% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 2,585,740 shares of company stock valued at $571,015,527. Company insiders own 3.94% of the company’s stock.

Institutional Trading of NVIDIA

Several large investors have recently added to or reduced their stakes in NVDA. Norges Bank acquired a new stake in NVIDIA in the 4th quarter valued at about $62,244,133,000. J. Stern & Co. LLP grew its stake in shares of NVIDIA by 13,709.1% during the fourth quarter. J. Stern & Co. LLP now owns 125,760,307 shares of the computer hardware maker’s stock valued at $23,454,297,000 after purchasing an additional 124,849,603 shares during the last quarter. Jupiter Topco LLC acquired a new stake in shares of NVIDIA in the second quarter valued at approximately $16,156,076,000. Cardano Risk Management B.V. raised its position in NVIDIA by 896.4% in the 4th quarter. Cardano Risk Management B.V. now owns 78,123,960 shares of the computer hardware maker’s stock worth $14,570,119,000 after purchasing an additional 70,283,539 shares during the last quarter. Finally, Capital Research Global Investors lifted its holdings in NVIDIA by 16.1% during the 3rd quarter. Capital Research Global Investors now owns 165,377,852 shares of the computer hardware maker’s stock worth $30,855,564,000 after buying an additional 22,896,705 shares in the last quarter. 65.27% of the stock is owned by institutional investors.

Trending Headlines about NVIDIA

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: NVIDIA’s AI growth outlook remains exceptionally strong. CEO Jensen Huang said revenue could grow roughly 70% next year, while the company’s next-generation Rubin platform is already shipping. Recent quarterly revenue reached $96.2 billion, up about 106% year over year, exceeding estimates and reinforcing expectations for continued data-center demand. Nvidia Has $96 Billion in Quarterly Revenue
• Positive Sentiment: Microsoft reportedly plans to more than triple its data-center capacity, a potentially significant demand catalyst for NVIDIA’s GPUs, networking products and full-stack systems. Strong August revenue growth at manufacturing partner TSMC also signals that AI-chip orders remain robust. Microsoft Data Center Expansion
• Positive Sentiment: NVIDIA is expanding its ecosystem through a planned Australian AI-infrastructure buildout of up to 2 gigawatts by 2027, partnerships with Palantir for sovereign supply-chain AI, and adoption of its chip-linking technology by d-Matrix. These initiatives broaden demand beyond traditional hyperscalers. Australian AI Infrastructure Expansion
• Neutral Sentiment: Competition and valuation remain investor concerns. Positron AI raised $875 million to develop memory-based inference technology that could challenge NVIDIA’s software and hardware advantage, while AMD and Broadcom are being promoted as alternative AI investments. High Treasury yields also make NVIDIA’s elevated valuation more difficult to justify.
• Negative Sentiment: The Justice Department is reportedly investigating whether NVIDIA’s licensing arrangement with AI-chip startup Groq was structured to avoid antitrust scrutiny. Any regulatory action could limit strategic flexibility or increase legal uncertainty. DOJ Groq Licensing Investigation
• Negative Sentiment: Insider selling is weighing on sentiment: director Mark Stevens reportedly sold hundreds of thousands of shares, and broader recent filings show substantial insider sales with no reported purchases. The transactions do not prove weakening fundamentals, but they can encourage profit-taking after the stock’s strong rally.
• Negative Sentiment: Higher oil prices, rising bond yields and a hotter inflation reading have pressured technology stocks broadly. These macro forces, combined with concerns about AI-capital-spending sustainability and fresh regulatory scrutiny, help explain why NVIDIA has decreased despite strong company-specific news.

About NVIDIA

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company’s offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.