NVIDIA’s (NVDA) Buy Rating Reiterated at Bank of America

by · The Cerbat Gem

Bank of America restated their buy rating on shares of NVIDIA (NASDAQ:NVDA – Free Report) in a report issued on Friday,Benzinga reports. Bank of America currently has a $275.00 price objective on the computer hardware maker’s stock.

Other analysts have also recently issued research reports about the stock. DZ Bank restated a “buy” rating on shares of NVIDIA in a research report on Thursday, November 20th. Wells Fargo & Company reissued an “overweight” rating and issued a $265.00 target price (up from $220.00) on shares of NVIDIA in a research note on Friday, November 14th. Mizuho increased their price target on NVIDIA from $235.00 to $245.00 and gave the stock an “outperform” rating in a report on Thursday, November 20th. CICC Research raised their price target on NVIDIA from $200.00 to $228.00 and gave the stock an “outperform” rating in a research report on Friday, November 21st. Finally, Morgan Stanley lifted their price objective on NVIDIA from $235.00 to $250.00 and gave the company an “overweight” rating in a report on Monday, December 1st. Five investment analysts have rated the stock with a Strong Buy rating, forty-five have assigned a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Buy” and a consensus price target of $262.14.

Get Our Latest Stock Analysis on NVDA

NVIDIA Price Performance

NVIDIA stock opened at $190.53 on Friday. The company has a current ratio of 4.47, a quick ratio of 3.71 and a debt-to-equity ratio of 0.06. The firm has a market capitalization of $4.63 trillion, a P/E ratio of 47.28, a PEG ratio of 0.93 and a beta of 2.29. The business has a 50-day moving average of $186.12 and a 200-day moving average of $177.01. NVIDIA has a 1 year low of $86.62 and a 1 year high of $212.19.

NVIDIA (NASDAQ:NVDA – Get Free Report) last issued its quarterly earnings data on Wednesday, November 19th. The computer hardware maker reported $1.30 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.23 by $0.07. The firm had revenue of $57.01 billion during the quarter, compared to analysts’ expectations of $54.66 billion. NVIDIA had a net margin of 53.01% and a return on equity of 99.24%. The business’s revenue for the quarter was up 62.5% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.81 earnings per share. On average, equities analysts anticipate that NVIDIA will post 2.77 EPS for the current year.

NVIDIA Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, December 26th. Shareholders of record on Thursday, December 4th were paid a $0.01 dividend. The ex-dividend date was Thursday, December 4th. This represents a $0.04 annualized dividend and a yield of 0.0%. NVIDIA’s payout ratio is presently 0.99%.

Insider Transactions at NVIDIA

In related news, Director Harvey C. Jones sold 250,000 shares of the stock in a transaction on Monday, December 15th. The shares were sold at an average price of $177.33, for a total transaction of $44,332,500.00. Following the completion of the transaction, the director owned 6,933,280 shares in the company, valued at approximately $1,229,478,542.40. This represents a 3.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Mark A. Stevens sold 350,000 shares of the firm’s stock in a transaction on Friday, December 5th. The shares were sold at an average price of $181.73, for a total transaction of $63,605,500.00. Following the completion of the transaction, the director directly owned 7,049,803 shares of the company’s stock, valued at approximately $1,281,160,699.19. This trade represents a 4.73% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 2,086,474 shares of company stock worth $382,482,492. Insiders own 4.17% of the company’s stock.

Hedge Funds Weigh In On NVIDIA

Large investors have recently modified their holdings of the business. Sherman Porfolios LLC increased its position in shares of NVIDIA by 364.9% in the third quarter. Sherman Porfolios LLC now owns 6,769 shares of the computer hardware maker’s stock valued at $1,263,000 after acquiring an additional 5,313 shares during the last quarter. PMG Family Office LLC bought a new position in NVIDIA in the third quarter valued at approximately $2,150,000. AIA Group Ltd grew its stake in NVIDIA by 55.1% in the third quarter. AIA Group Ltd now owns 665,253 shares of the computer hardware maker’s stock valued at $124,123,000 after purchasing an additional 236,263 shares in the last quarter. Alternative Investment Advisors LLC. increased its position in shares of NVIDIA by 1.7% during the 3rd quarter. Alternative Investment Advisors LLC. now owns 21,169 shares of the computer hardware maker’s stock worth $3,950,000 after purchasing an additional 355 shares during the last quarter. Finally, Financial Symmetry Inc raised its stake in shares of NVIDIA by 66.4% during the 3rd quarter. Financial Symmetry Inc now owns 6,824 shares of the computer hardware maker’s stock worth $1,273,000 after purchasing an additional 2,723 shares in the last quarter. 65.27% of the stock is currently owned by institutional investors and hedge funds.

Key Stores Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

  • Positive Sentiment: NVIDIA struck a ~ $20B agreement to license Groq’s inference technology and bring key Groq engineers into NVIDIA, which investors view as a fast way to close a latency/speed gap for inference workloads and extend NVIDIA’s moat. NVIDIA’s $20B Groq Deal Is a Warning Shot to AI Rivals
  • Positive Sentiment: Multiple outlets and TV segments frame the Groq deal as market‑moving — coverage highlights the strategic urgency (speed for inference) and immediate market reaction, supporting the near‑term bullish case. Nvidia strikes $20 billion deal with Groq: Here’s what you need to know
  • Positive Sentiment: Wall Street momentum: major firms reaffirmed/raised bullish ratings and price targets (e.g., $275 PTs reported), supporting further upside expectations as analysts bake the deal into 2026 modeling. Analyst price target reports
  • Neutral Sentiment: Deal structure is non‑traditional — a non‑exclusive license plus talent hires (Groq stays independent) — which accelerates integration while aiming to avoid lengthy antitrust review; that reduces near‑term regulatory drag but leaves some legal/competitive ambiguity. Nvidia-Groq deal is structured to keep ‘fiction of competition alive’
  • Positive Sentiment: Technical/strategic rationale: analysts and deep‑dive pieces argue Groq’s LPU/compiler tech can materially improve real‑time inference throughput and energy efficiency — a potential product advantage for cloud and robotics customers. Why Nvidia Needs Groq To Win The War Against Google’s TPUs
  • Neutral Sentiment: Financing and cash use: while NVDA’s huge free cash flow can fund the deal, $20B is material — some analysts flag near‑term balance‑sheet and capital allocation questions (and one note argued “cash problem” risks). Monitor cash deployment and buyback/dividend policy. Nvidia Has A Cash Problem
  • Negative Sentiment: Emerging competitive risk: a MarketBeat piece warns MetaX’s rapid IPO surge and other deep‑tech entrants could pose a meaningful long‑term threat to NVIDIA’s dominance into 2026 — worth tracking as rivals commercialize low‑latency stacks. Is MetaX a NVIDIA Threat—or Just Another DeepSeek Market Scare?

NVIDIA Company Profile

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NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.

The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.

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