NVIDIA (NASDAQ:NVDA) Shares Down 1.8% After Analyst Downgrade

Posted by Geri Gentry on May 23rd, 2026

Shares of NVIDIA Corporation (NASDAQ:NVDA – Get Free Report) traded down 1.8% during trading on Thursday after Zacks Research downgraded the stock from a strong-buy rating to a hold rating. The company traded as low as $217.93 and last traded at $219.51. 201,219,182 shares changed hands during trading, an increase of 18% from the average session volume of 170,715,375 shares. The stock had previously closed at $223.47.

Other equities analysts have also issued reports about the company. Craig Hallum boosted their price target on NVIDIA from $245.00 to $275.00 and gave the company a “buy” rating in a research note on Thursday. Argus raised their price objective on shares of NVIDIA from $220.00 to $270.00 and gave the stock a “buy” rating in a research report on Thursday. Oppenheimer reiterated an “outperform” rating and issued a $265.00 price objective on shares of NVIDIA in a research note on Thursday, February 26th. UBS Group boosted their target price on shares of NVIDIA from $275.00 to $280.00 and gave the company a “buy” rating in a research report on Thursday. Finally, Rosenblatt Securities reissued a “buy” rating and set a $325.00 target price on shares of NVIDIA in a research note on Thursday. Three equities research analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Buy” and an average target price of $303.27.

Read Our Latest Stock Analysis on NVIDIA

Insiders Place Their Bets

In other news, Director Aarti S. Shah sold 19,000 shares of the stock in a transaction that occurred on Thursday, March 19th. The stock was sold at an average price of $176.71, for a total value of $3,357,490.00. Following the completion of the sale, the director directly owned 36,007 shares of the company’s stock, valued at $6,362,796.97. This represents a 34.54% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Mark A. Stevens sold 221,682 shares of the firm’s stock in a transaction that occurred on Friday, March 20th. The shares were sold at an average price of $173.68, for a total value of $38,501,729.76. Following the completion of the transaction, the director owned 7,399,771 shares in the company, valued at $1,285,192,227.28. This represents a 2.91% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 906,336 shares of company stock worth $162,802,518 in the last quarter. Insiders own 4.17% of the company’s stock.

Key Headlines Impacting NVIDIA

Here are the key news stories impacting NVIDIA this week:

Positive Sentiment: NVIDIA delivered a record quarter with massive revenue growth, strong guidance, and record data center sales. The Tech Download: What you might have missed in Nvidia’s earnings — a $200 billion opportunity and edge computing
Positive Sentiment: The company raised its dividend sharply and approved an $80 billion buyback, signaling confidence in future cash generation. Nvidia Just Raised Its Dividend By 2,400% — and That Wasn’t Even the Biggest News From Its Earnings Report
Positive Sentiment: Wall Street remains broadly bullish, with multiple analysts raising price targets after earnings. Nvidia stock continues to struggle after earnings, but analysts remain firmly bullish
Neutral Sentiment: Despite the strong report, the market seems to be digesting the results rather than rewarding them, suggesting investors may think the bar was already very high. Nvidia Stock Misses Out on Friday’s Rally. Here’s How Much Traders See It Moving Next Week
Negative Sentiment: Some investors remain worried about valuation, competition, and the possibility that AI spending growth could slow from current extreme levels. Why Nvidia Stock Is Barely Moving After Earnings Crushed Expectations

Institutional Investors Weigh In On NVIDIA

A number of hedge funds have recently made changes to their positions in the business. Lifetime Wealth Management P.C. bought a new position in shares of NVIDIA in the fourth quarter worth $26,000. Longview Financial Advisors Inc. bought a new stake in shares of NVIDIA during the 1st quarter valued at $27,000. Longfellow Investment Management Co. LLC raised its stake in shares of NVIDIA by 47.9% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock valued at $33,000 after purchasing an additional 67 shares during the period. Phillip James Consulting Co. purchased a new stake in NVIDIA during the 1st quarter worth about $40,000. Finally, Inspire Investing LLC purchased a new stake in NVIDIA during the 4th quarter worth about $44,000. 65.27% of the stock is currently owned by institutional investors.

NVIDIA Trading Down 1.9%

The firm has a 50 day simple moving average of $196.10 and a 200 day simple moving average of $189.06. The company has a debt-to-equity ratio of 0.04, a quick ratio of 3.24 and a current ratio of 3.44. The firm has a market cap of $5.21 trillion, a P/E ratio of 32.98, a P/E/G ratio of 0.68 and a beta of 2.25.

NVIDIA (NASDAQ:NVDA – Get Free Report) last announced its quarterly earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, beating the consensus estimate of $1.76 by $0.11. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The firm had revenue of $81.62 billion during the quarter, compared to the consensus estimate of $78.42 billion. During the same period last year, the firm earned $0.81 EPS. The business’s quarterly revenue was up 85.2% compared to the same quarter last year. On average, equities research analysts predict that NVIDIA Corporation will post 7.88 EPS for the current fiscal year.

NVIDIA Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 26th. Investors of record on Thursday, June 4th will be paid a $0.25 dividend. This is a boost from NVIDIA’s previous quarterly dividend of $0.01. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend is Thursday, June 4th. NVIDIA’s payout ratio is currently 0.82%.

NVIDIA declared that its Board of Directors has approved a stock repurchase plan on Wednesday, May 20th that permits the company to buyback $80.00 billion in outstanding shares. This buyback authorization permits the computer hardware maker to repurchase up to 1.5% of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s management believes its shares are undervalued.

NVIDIA Company Profile

(Get Free Report)

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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