NVIDIA Sees Unusually Large Options Volume (NASDAQ:NVDA)

NVIDIA Co. (NASDAQ:NVDA) saw unusually large options trading activity on Tuesday. Stock traders purchased 5,059,718 call options on the stock. This represents an increase of 35% compared to the average daily volume of 3,760,889 call options.

Analyst Upgrades and Downgrades

Several research firms have recently commented on NVDA. Morgan Stanley lifted their price target on shares of NVIDIA from $150.00 to $160.00 and gave the company an “overweight” rating in a report on Monday, November 11th. HSBC upped their target price on NVIDIA from $145.00 to $200.00 and gave the company a “buy” rating in a report on Thursday, November 14th. JPMorgan Chase & Co. lifted their price objective on shares of NVIDIA from $155.00 to $170.00 and gave the company an “overweight” rating in a research report on Thursday, November 21st. Mizuho lifted their price objective on shares of NVIDIA from $165.00 to $175.00 and gave the company an “outperform” rating in a research note on Thursday, November 21st. Finally, Cantor Fitzgerald restated an “overweight” rating and set a $175.00 price target on shares of NVIDIA in a research report on Thursday, November 21st. Four research analysts have rated the stock with a hold rating, thirty-nine have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, NVIDIA has an average rating of “Moderate Buy” and an average price target of $164.15.

NVIDIA Stock Down 6.2 %

NVDA stock traded down $9.29 during midday trading on Tuesday, reaching $140.14. The company had a trading volume of 349,868,488 shares, compared to its average volume of 259,980,969. The company has a 50 day moving average of $139.75 and a two-hundred day moving average of $128.28. The company has a current ratio of 4.10, a quick ratio of 3.64 and a debt-to-equity ratio of 0.13. NVIDIA has a 1 year low of $49.48 and a 1 year high of $153.13. The company has a market capitalization of $3.43 trillion, a P/E ratio of 55.15, a PEG ratio of 2.43 and a beta of 1.64.

NVIDIA (NASDAQ:NVDA) last issued its earnings results on Wednesday, November 20th. The computer hardware maker reported $0.81 EPS for the quarter, beating analysts’ consensus estimates of $0.69 by $0.12. NVIDIA had a return on equity of 114.83% and a net margin of 55.69%. The firm had revenue of $35.08 billion for the quarter, compared to the consensus estimate of $33.15 billion. During the same quarter in the previous year, the company posted $0.38 earnings per share. The business’s quarterly revenue was up 93.6% compared to the same quarter last year. On average, equities research analysts expect that NVIDIA will post 2.78 earnings per share for the current fiscal year.

NVIDIA Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, December 27th. Shareholders of record on Thursday, December 5th were paid a $0.01 dividend. This represents a $0.04 dividend on an annualized basis and a yield of 0.03%. The ex-dividend date of this dividend was Thursday, December 5th. NVIDIA’s dividend payout ratio (DPR) is presently 1.57%.

Insiders Place Their Bets

In related news, Director Tench Coxe sold 1,000,000 shares of the business’s stock in a transaction dated Monday, December 16th. The stock was sold at an average price of $131.26, for a total value of $131,260,000.00. Following the transaction, the director now owns 28,671,360 shares in the company, valued at approximately $3,763,402,713.60. The trade was a 3.37 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Mark A. Stevens sold 155,000 shares of the firm’s stock in a transaction that occurred on Wednesday, October 9th. The stock was sold at an average price of $132.27, for a total transaction of $20,501,850.00. Following the sale, the director now directly owns 8,100,117 shares of the company’s stock, valued at $1,071,402,475.59. The trade was a 1.88 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 1,226,886 shares of company stock worth $161,499,400 over the last ninety days. 4.23% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. McAlister Sweet & Associates Inc. raised its position in shares of NVIDIA by 1.0% in the fourth quarter. McAlister Sweet & Associates Inc. now owns 49,572 shares of the computer hardware maker’s stock valued at $6,657,000 after purchasing an additional 509 shares during the period. Legend Financial Advisors Inc. acquired a new position in NVIDIA during the 4th quarter worth $34,000. Range Financial Group LLC boosted its holdings in NVIDIA by 113.1% during the fourth quarter. Range Financial Group LLC now owns 57,587 shares of the computer hardware maker’s stock valued at $7,733,000 after acquiring an additional 30,559 shares during the period. One Wealth Capital Management LLC acquired a new position in shares of NVIDIA during the 4th quarter worth about $2,056,000. Finally, Strathmore Capital Advisors Inc. bought a new stake in NVIDIA during the 4th quarter valued at approximately $207,000. Institutional investors and hedge funds own 65.27% of the company’s stock.

About NVIDIA

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.