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Strong Insider Selling of $NVDA Raises Concerns Among Investors

Insider trading activity raises eyebrows for $NVDA investors. Recent sales by key executives suggest a potential bearish outlook among insiders, with zero reported purchases in the past six months.

Date: 
AI Rating:   5

Insider Selling Activity
Colette Kress, the Chief Financial Officer of $NVDA, sold 22,950 shares for approximately $2,667,942 on March 21, 2025. This sale represents 0.7% of her shares. Notably, the report indicates that in the past six months, all 32 insider trades were sales, with no purchases recorded. This pattern could signal a lack of confidence among insiders regarding the future performance of the stock.

Institutional Investor Activity
In the first quarter of 2025, a substantial number of institutional investors adjusted their positions in $NVDA, with 2,284 adding shares while 2,112 decreased their holdings. This activity reflects a mixed sentiment among institutional investors. Particularly alarming is the significant reduction in shareholding by major institutional players such as Bank of America and Legal & General Group, which collectively sold over 139 million shares.

Congressional Trading Activity
Recent trades by members of Congress also depict a bearish sentiment, with more sales than purchases in the last six months. While the interaction of congressional members with $NVDA may not directly influence its stock price, it does provide insight into trends regarding public perception and sentiment surrounding the company.

Analyst Ratings
In contrast to the prevailing insider selling trend, Wall Street analysts have predominantly issued buy ratings for $NVDA, with 23 firms recommending purchases. However, the overall sentiment indicated by the insider and investor activities raises questions about the reliability of these optimistic projections.

Price Targets
Price targets set by analysts exhibit a median target of $175, with notable targets as high as $190. Despite these projections, the ongoing insider selling may weaken investor confidence, making it crucial for $NVDA to demonstrate solid financial performance in the upcoming quarters to mitigate the negative perception from insiders.

Stocks:  $NVDA