NVIDIA (NASDAQ:NVDA) Shares Gap Down – Should You Sell?

Shares of NVIDIA Corporation (NASDAQ:NVDA) gapped down prior to trading on Monday . The stock had previously closed at $1,781.90, but opened at $180.43. NVIDIA shares last traded at $183.51, with a volume of 49,584,748 shares changing hands.

Analyst Ratings Changes

A number of research analysts have weighed in on the company. TD Cowen increased their target price on NVIDIA from $140.00 to $235.00 and gave the company a “buy” rating in a report on Tuesday, August 19th. UBS Group reaffirmed a “buy” rating on shares of NVIDIA in a research note on Tuesday, September 23rd. Evercore ISI raised their price objective on NVIDIA from $214.00 to $225.00 and gave the stock an “outperform” rating in a research note on Tuesday, September 23rd. Jefferies Financial Group raised their price objective on NVIDIA from $205.00 to $220.00 and gave the stock a “buy” rating in a research note on Monday. Finally, Bank of America raised their price objective on NVIDIA from $220.00 to $235.00 and gave the stock a “buy” rating in a research note on Thursday, August 28th. Four research analysts have rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, NVIDIA presently has a consensus rating of “Moderate Buy” and a consensus target price of $210.21.

NVIDIA Price Performance

The firm has a market cap of $4.41 trillion, a PE ratio of 51.74, a PEG ratio of 1.29 and a beta of 2.10. The firm has a fifty day simple moving average of $176.60 and a two-hundred day simple moving average of $146.20. The company has a debt-to-equity ratio of 0.08, a quick ratio of 3.60 and a current ratio of 4.21.

NVIDIA (NASDAQ:NVDA) last released its quarterly earnings results on Wednesday, August 27th. The computer hardware maker reported $1.05 earnings per share for the quarter, beating the consensus estimate of $1.01 by $0.04. The business had revenue of $46.74 billion during the quarter, compared to analysts’ expectations of $45.65 billion. NVIDIA had a return on equity of 101.74% and a net margin of 52.41%.The firm’s revenue for the quarter was up 55.6% compared to the same quarter last year. During the same quarter last year, the business posted $0.68 EPS. NVIDIA has set its Q3 2026 guidance at EPS. Equities analysts predict that NVIDIA Corporation will post 2.77 EPS for the current fiscal year.

NVIDIA Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, October 2nd. Stockholders of record on Thursday, September 11th will be paid 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 Thursday, September 11th. NVIDIA’s dividend payout ratio (DPR) is presently 1.14%.

Insiders Place Their Bets

In other news, Director Mark A. Stevens sold 350,000 shares of the firm’s stock in a transaction that occurred on Friday, September 19th. The stock was sold at an average price of $176.39, for a total value of $61,736,500.00. Following the completion of the sale, the director directly owned 7,399,803 shares of the company’s stock, valued at $1,305,251,251.17. This trade represents a 4.52% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO Jen Hsun Huang sold 75,000 shares of the firm’s stock in a transaction that occurred on Wednesday, September 24th. The shares were sold at an average price of $177.60, for a total value of $13,320,000.00. Following the completion of the sale, the chief executive officer directly owned 71,458,203 shares of the company’s stock, valued at $12,690,976,852.80. The trade was a 0.10% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 4,050,558 shares of company stock worth $701,164,609. 4.17% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On NVIDIA

A number of large investors have recently bought and sold shares of the business. Morton Brown Family Wealth LLC boosted its holdings in NVIDIA by 1.5% during the 2nd quarter. Morton Brown Family Wealth LLC now owns 3,928 shares of the computer hardware maker’s stock valued at $621,000 after acquiring an additional 58 shares during the period. Roof Eidam Maycock Peralta LLC boosted its holdings in NVIDIA by 0.3% during the 2nd quarter. Roof Eidam Maycock Peralta LLC now owns 20,903 shares of the computer hardware maker’s stock valued at $3,302,000 after acquiring an additional 58 shares during the period. Alpha Wealth Funds LLC boosted its holdings in NVIDIA by 1.3% during the 2nd quarter. Alpha Wealth Funds LLC now owns 4,634 shares of the computer hardware maker’s stock valued at $732,000 after acquiring an additional 59 shares during the period. Copia Wealth Management boosted its holdings in NVIDIA by 14.7% during the 2nd quarter. Copia Wealth Management now owns 468 shares of the computer hardware maker’s stock valued at $74,000 after acquiring an additional 60 shares during the period. Finally, BKM Wealth Management LLC raised its position in NVIDIA by 1.1% during the 2nd quarter. BKM Wealth Management LLC now owns 5,745 shares of the computer hardware maker’s stock valued at $908,000 after purchasing an additional 60 shares in the last quarter. Hedge funds and other institutional investors own 65.27% of the company’s stock.

NVIDIA Company Profile

NVIDIA Corporation provides graphics and compute and networking solutions in the United States, Taiwan, China, Hong Kong, and internationally. The Graphics segment offers GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU or vGPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems; and Omniverse software for building and operating metaverse and 3D internet applications.