Analysis of WD Rutherford LLC Trimming Stock Holdings in NVIDIA Co. (NASDAQ:NVDA)

Key Facts and Data Points:

• WD Rutherford LLC:

  • Reduced stake in NVIDIA by 1.7% in the 4th quarter.
  • Sold 2,157 shares, ending with 122,875 shares.
  • NVIDIA represents 7.8% of its portfolio, making it the largest holding.
  • Holdings worth $16,501,000 as of the latest filing.

• Other Institutional Investors:

  • Geode Capital Management LLC: Increased stake by 2.2%, now owning 546,079,492 shares ($66.1 billion).
  • UBS AM (a unit of UBS ASSET MANAGEMENT AMERICAS LLC): Increased holdings by 3.8%, now owning 180,403,789 shares ($21.9 billion).
  • Charles Schwab Investment Management Inc.: Boosted stake by 1.4%, now owning 146,069,090 shares ($17.7 billion).
  • Fisher Asset Management LLC: Grew stake by 3.5%, now owning 96,720,707 shares ($11.7 billion).
  • Sumitomo Mitsui Trust Group Inc.: Increased holdings by 0.3%, now owning 63,615,639 shares ($8.5 billion).

• Institutional Ownership:

  • Total institutional ownership: 65.27%.

Insider Transactions:

• EVP Transaction:

  • Sold 36,462 shares at an average price of $151.10, total value $5,509,408.20.
  • Post-sale ownership: 3,902,888 shares ($589.7 million).
  • Decrease in position: 0.93%.

• Director Transaction:

  • Sold 53,324 shares at an average price of $115.49, total value $6,158,388.76.
  • Post-sale ownership: 251,044 shares ($28.9 million).
  • Decrease in position: 17.52%.

• Total Insider Sales:

  • Over the last ninety days: 92,449 shares, total value $11,960,727.
  • Insiders own 4.23% of the company’s stock.

Wall Street Analysts:

• Consensus Rating: “Moderate Buy” with a price target of $171.51.
• Positive coverage:
  • Morgan Stanley: $162.00 (Overweight).
  • Wells Fargo: $185.00 (Overweight).
  • KeyCorp: $190.00.
  • JPMorgan Chase: $170.00 (Overweight).
  • Robert W. Baird: $190.00 (Outperform).

Stock Performance:

• Current Price: Opened at $118.53 on Friday.
• Moving averages:
  • 50-day: $127.28.
  • 200-day: $131.03.
• Market capitalization: $2.89 trillion.
• Financial metrics:
  • P/E ratio: 46.65.
  • PEG ratio: 1.76.
  • Beta: 1.77.
  • Quick ratio: 3.64.
  • Current ratio: 4.10.
  • Debt-to-equity ratio: 0.13.
• 52-week price range: $75.61 – $153.13.

Earnings and Revenue:

• QTR EPS: $0.89, beating estimates of $0.84.
• Return on equity: 114.83%.
• Net margin: 55.69%.
• Revenue: $39.33 billion, vs. estimate $38.16 billion.
• Analysts’ EPS forecast for the current year: 2.77.

Dividend Announcement:

• Quarterly Dividend: $0.01 per share, paid on April 2, 2024 to shareholders of record on March 12, 2024.
• Annualized dividend: $0.04.
• Dividend yield: 0.03%.
• Dividend payout ratio: 1.36%.

Company Profile:

• Provides graphics and compute solutions, including:

  • GeForce GPUs for gaming and PCs.
  • Quadro/NVIDIA RTX GPUs for enterprise workstations.
  • Virtual GPU (vGPU) software for cloud computing.
  • Automotive platforms for infotainment systems.
  • Omniverse platform for metaverse applications.

• Operates in the U.S., Taiwan, China, and Hong Kong.