Weiss Asset Management LP Acquires Shares of 262,888 NVIDIA Co. (NASDAQ:NVDA)

Weiss Asset Management LP has recently made a significant move by acquiring shares of NVIDIA Co. (NASDAQ:NVDA) during the third quarter of the fiscal year. According to reports from Holdings Channel, the firm purchased a total of 262,888 shares of NVIDIA stock, which is estimated to be worth around $31,925,000. Notably, this investment represents 0.7% of Weiss Asset Management LP's overall investment portfolio, making NVIDIA the 21st largest holding in their collection of assets.

In addition to Weiss Asset Management LP's acquisition, other hedge funds and institutional investors have adjusted their stakes in NVIDIA. For instance, Hoertkorn Richard Charles increased its holdings by 2.0% in the same quarter, now owning 3,490 shares worth approximately $424,000 after acquiring an additional 70 shares. Smart Portfolios LLC also saw a 2.7% boost to their position, bringing their total to 2,805 shares valued at $341,000 following a purchase of 75 more shares.

Palisade Asset Management LLC similarly grew its stake in NVIDIA by 0.5% to hold 15,363 shares now valued at $1,866,000 after acquiring an additional 75 shares as well. Total Wealth Planning LLC raised its stake by 3.6%, leading to 2,275 shares worth $276,000 after a purchase of 78 shares. Lastly, Boyd Watterson Asset Management LLC OH reported a 0.3% increase, now owning 30,080 shares valued at $3,653,000 after buying 80 additional shares. Currently, hedge funds and institutional investors collectively own approximately 65.27% of NVIDIA stock.

Insider Trading Activity

In light of recent trades, NVIDIA's insiders also engaged in selling activities. On December 16th, Director Tench Coxe sold a substantial 1,000,000 shares of the company for an average price of $131.26 each, totaling $131,260,000. This sale reflects a 3.37% reduction in his holdings, and he currently controls 28,671,360 shares valued at approximately $3.76 billion. Additionally, CFO Colette Kress sold 66,670 shares on December 13th, which amounted to a value of $9,027,118 at an average price of $135.40 per share, resulting in a reduction of her ownership by 1.95%. Over the last three months, insiders have sold a total of 1,108,348 shares worth roughly $146.51 million, and corporate insiders maintain ownership of 4.23% of the company’s stock.

NVIDIA Stock Performance Overview

As of Friday, NVIDIA shares opened at $137.71. The company has a strong market presence with a market capitalization of $3.37 trillion, a P/E ratio of 54.20, and a price-to-earnings-growth ratio of 2.45. The stock's volatility is reflected in its beta of 1.64. Over recent periods, NVIDIA has demonstrated solid liquidity with a current ratio of 4.10 and a quick ratio of 3.64, while maintaining a low debt-to-equity ratio of 0.13. The company’s stock has fluctuated significantly, hitting a 1-year low of $56.11 and a high of $153.13.

NVIDIA most recently released its earnings report on November 20th, where it announced earnings of $0.81 per share for the quarter, surpassing analysts' expectations of $0.69. The company achieved an impressive return on equity of 114.83% and a net margin of 55.69%. The quarterly revenue reached $35.08 billion, exceeding the consensus estimate of $33.15 billion. Compared to the same quarter last year, NVIDIA saw a 93.6% increase in revenue, as it posted earnings of $0.38 per share in the previous year. Analysts forecast that the company may report earnings per share of 2.78 for the current fiscal year.

NVIDIA Dividend Announcement

NVIDIA has also made headlines by announcing a quarterly dividend recently, which was paid out on December 27th. Shareholders on record as of December 5th received a $0.01 dividend. The ex-dividend date for this payout was the same day. This annualizes to a dividend of $0.04, translating to a yield of 0.03%, with a dividend payout ratio (DPR) currently sitting at 1.57%.

Recent Analyst Ratings Changes

Several analysts have provided recent updates regarding NVIDIA’s stock. UBS Group raised their price target from $150.00 to $185.00 with a “buy” rating on November 11th. Robert W. Baird similarly increased their target from $150.00 to $190.00 and rated the stock as “outperform” on November 21st. Raymond James also updated its estimates, boosting the price target from $140.00 to $170.00 and rated the stock as a “strong buy” on November 14th. JPMorgan Chase & Co. also raised their target price for NVIDIA to $170.00, maintaining an “overweight” rating on November 21st. Lastly, Truist Financial set their target at $167.00 with a “buy” recommendation on November 19th. The consensus from equities research analysts shows four hold ratings, thirty-nine buy ratings, and one strong buy rating, leading to an average rating of “Moderate Buy” and an average price target of $164.63.

About NVIDIA

NVIDIA Profile

NVIDIA Corporation is known for providing high-performance graphics, computing, and networking solutions across several regions including the United States, Taiwan, China, and Hong Kong. Its product segments include GeForce GPUs tailored for gaming and PCs, the GeForce NOW game streaming service, virtual GPU (vGPU) software for cloud-based visual computing, automotive platforms for infotainment systems, as well as solutions aimed at gaming platforms and enterprise workstations.

Acquisition, Investment, Technology