NVIDIA (NASDAQ:NVDA) Trading Up 7% on Strong Earnings

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Shares of NVIDIA Co. (NASDAQ:NVDA) were up 7% during trading on Friday following a stronger than expected earnings report. The company traded as high as $294.97 and last traded at $289.79, approximately 26,030,479 shares were traded during mid-day trading. An increase of 211% from the average daily volume of 8,377,557 shares. The stock had previously closed at $270.78.

The computer hardware maker reported $1.89 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $1.67 by $0.22. The company had revenue of $3.11 billion during the quarter, compared to analyst estimates of $2.96 billion. NVIDIA had a net margin of 24.08% and a return on equity of 22.02%. During the same quarter last year, the business posted $0.80 earnings per share.

Several analysts have recently commented on the stock. Zacks Investment Research raised shares of NVIDIA from a “hold” rating to a “buy” rating and set a $218.00 price target on the stock in a research note on Wednesday, November 20th. Morgan Stanley increased their price target on shares of NVIDIA from $259.00 to $304.00 and gave the company an “overweight” rating in a research note on Friday. UBS Group increased their price target on shares of NVIDIA from $300.00 to $320.00 and gave the company a “buy” rating in a research note on Friday. Nomura raised their price objective on shares of NVIDIA from $147.00 to $200.00 in a research note on Friday, November 15th. Finally, Citigroup increased their target price on shares of NVIDIA from $245.00 to $315.00 and gave the stock an “outperform” rating in a report on Friday. One investment analyst has rated the stock with a sell rating, twelve have given a hold rating, thirty have given a buy rating and one has assigned a strong buy rating to the company’s stock. NVIDIA has a consensus rating of “Buy” and a consensus target price of $255.75.

In other news, CFO Colette Kress sold 6,000 shares of the business’s stock in a transaction that occurred on Tuesday, January 21st. The shares were sold at an average price of $248.13, for a total value of $1,488,780.00. Following the completion of the transaction, the chief financial officer now directly owns 165,288 shares in the company, valued at approximately $41,012,911.44. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director A Brooke Seawell sold 20,000 shares of the business’s stock in a transaction that occurred on Monday, November 18th. The shares were sold at an average price of $212.75, for a total transaction of $4,255,000.00. Following the completion of the transaction, the director now owns 22,221 shares of the company’s stock, valued at $4,727,517.75. The disclosure for this sale can be found here. Insiders sold a total of 51,785 shares of company stock valued at $11,454,424 in the last three months. Insiders own 4.64% of the company’s stock.

Institutional investors and hedge funds have recently bought and sold shares of the business. Lindbrook Capital LLC raised its holdings in shares of NVIDIA by 2.2% in the fourth quarter. Lindbrook Capital LLC now owns 1,968 shares of the computer hardware maker’s stock valued at $463,000 after purchasing an additional 42 shares during the last quarter. Wealthcare Capital Management LLC boosted its position in NVIDIA by 44.2% during the fourth quarter. Wealthcare Capital Management LLC now owns 137 shares of the computer hardware maker’s stock worth $32,000 after purchasing an additional 42 shares during the period. Certified Advisory Corp boosted its position in shares of NVIDIA by 11.4% in the fourth quarter. Certified Advisory Corp now owns 409 shares of the computer hardware maker’s stock valued at $96,000 after acquiring an additional 42 shares during the period. RB Capital Management LLC raised its stake in NVIDIA by 1.6% in the fourth quarter. RB Capital Management LLC now owns 2,661 shares of the computer hardware maker’s stock valued at $628,000 after purchasing an additional 42 shares in the last quarter. Finally, National Asset Management Inc. raised its stake in NVIDIA by 0.3% in the fourth quarter. National Asset Management Inc. now owns 16,828 shares of the computer hardware maker’s stock valued at $3,962,000 after purchasing an additional 47 shares in the last quarter. 65.23% of the stock is currently owned by hedge funds and other institutional investors.

The stock has a market capitalization of $177.54 billion, a PE ratio of 74.12, a P/E/G ratio of 3.88 and a beta of 2.04. The firm’s 50 day simple moving average is $245.31 and its 200 day simple moving average is $203.66. The company has a debt-to-equity ratio of 0.22, a current ratio of 8.42 and a quick ratio of 7.71.

About NVIDIA (NASDAQ:NVDA)

NVIDIA Corp. engages in the design and manufacture of computer graphics processors, chipsets, and related multimedia software. It operates through the Graphics Processing Unit (GPU) and Tegra Processor segments. The GPU segment comprises of product brands which aims specialized markets including GeForce for gamers; Quadro for designers; Tesla and DGX for AI data scientists and big data researchers; and GRID for cloud-based visual computing users.

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