HSBC Lowers NVIDIA Price Target to $185.00 Amid Positive Rating

HSBC has reduced its price target for NVIDIA (NASDAQ:NVDA) from $195.00 to $185.00 according to a research report released on Monday. Despite this reduction, HSBC has maintained a "buy" rating for the NVIDIA stock. The new price target suggests a potential upside of approximately 40.43% from the company's current trading price.

Several other financial institutions have also analyzed NVIDIA's performance recently. For instance, Barclays raised its price objective for NVIDIA from $145.00 to $160.00, attributing an "overweight" rating in a report dated November 21st. Likewise, DA Davidson increased its target price from $90.00 to $135.00 while issuing a "neutral" rating in a report released on November 22nd. On September 18th, William Blair initiated coverage on NVIDIA with an "outperform" rating. Also, Raymond James adjusted its price target from $140.00 to $170.00, giving NVIDIA a "strong-buy" rating on November 14th. Robert W. Baird similarly raised its price target from $150.00 to $190.00, assigning an "outperform" rating on November 21st. Overall, four investment analysts have given the stock a hold rating, 39 have issued a buy recommendation, and one has declared a strong buy. According to MarketBeat.com, NVIDIA holds a consensus rating of "Moderate Buy" with an average target price of $164.27.

NVIDIA's Recent Financial Performance

NVIDIA's stock (NASDAQ:NVDA) saw a decline of $4.17 during trading on Monday, closing at $131.74. The trading volume reached 115,376,946 shares, noticeably lower than its average volume of 227,324,641 shares. Over the past year, NVIDIA has hit a low of $54.74 and a high of $153.13. Currently, the company has a market cap of $3.23 trillion and shows a price-to-earnings (PE) ratio of 51.85. The PE growth (P/E/G) ratio is recorded at 2.43, while the company’s beta value stands at 1.64. NVIDIA’s stock has a 50-day simple moving average of $139.90 and a 200-day simple moving average of $128.70.

The last quarterly earnings report from NVIDIA was posted on November 20th. The firm reported earnings of $0.81 per share, exceeding the consensus estimate of $0.69 by $0.12. With a return on equity of 114.83% and a net margin of 55.69%, NVIDIA's revenue for the quarter was $35.08 billion, surpassing expectations of $33.15 billion. Compared to the same quarter last year, the revenue has shown significant growth, being up by 93.6%. Analysts predict that NVIDIA will achieve 2.78 earnings per share for the current financial year.

Insider Trading Trends

In related activity, NVIDIA's CFO, Colette Kress, sold 66,670 shares on December 13th at an average price of $135.40, totaling approximately $9,027,118. Following this sale, she retains 3,351,572 shares worth about $453,802,848.80, marking a 1.95% decrease in her holdings. Furthermore, Director John Dabiri sold 716 shares on November 25th at an average price of $142.00, resulting in a transaction value of $101,672.00. He now owns 19,942 shares in the company, valued at around $2,831,764, which represents a 3.47% decrease in his ownership. In the past ninety days, corporate insiders have sold a total of 1,108,348 NVIDIA shares, amounting to $146,506,958. Currently, insiders hold 4.23% of the company's stock.

Institutional Investors and Shareholder Trends

Recent changes in NVIDIA’s stock positions by institutional investors have been noteworthy. Hoertkorn Richard Charles raised its holdings by 2.0% during the third quarter, accumulating a total of 3,490 shares worth $424,000 after buying 70 additional shares. Smart Portfolios LLC and Palisade Asset Management LLC also increased their holdings by 2.7% and 0.5%, respectively. Total Wealth Planning LLC and Boyd Watterson Asset Management LLC OH also made minor increases to their shares. Currently, institutional investors own approximately 65.27% of NVIDIA's stock.

About NVIDIA Corporation

NVIDIA Corporation is a leading provider of graphics processing units (GPUs) and computing solutions across various segments. Its offerings include GeForce GPUs for gaming, the GeForce NOW game streaming service, enterprise workstation graphics (Quadro/NVIDIA RTX GPUs), and advanced automotive platforms. NVIDIA is also engaged in software solutions aimed at enhancing visual experiences in virtual and augmented realities.

NVIDIA, HSBC, Investment