1. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 102
In addition to building world-class GPUs, NVIDIA Corporation (NASDAQ:NVDA) also offers data center solutions, primarily its accelerated computing platform, which allows enterprises to deploy and develop workloads of any size. Data centers are becoming NVIDIA Corporation’s (NASDAQ:NVDA) strongest business, which is why we are ranking it high among the best data center stocks to invest in. In old news, NVIDIA Corporation’s (NASDAQ:NVDA) data center business accounted for $3.75 billion of the company’s fiscal first-quarter 2022 revenue, up 83.1 percent year over year, and the GPU manufacturer’s gaming business accounted for $3.62 billion of its Q1 revenue, up 31.2% year over year.
Analysts are bullish on NVIDIA Corporation (NASDAQ:NVDA). On July 8, Tigress Financial analyst Ivan Feinseth trimmed his price target on NVIDIA Corporation (NASDAQ:NVDA) to $310 from $410 but maintained a Buy rating on the shares. Feinseth is bullish on NVIDIA Corporation (NASDAQ:NVDA) given its leading position in data centers, autonomous technology, and artificial intelligence, which will continue to drive the company’s growth. The analyst views a 90% upside to NVIDIA Corporation’s (NASDAQ:NVDA) shares from current levels.
At the end of Q1 2022, 102 hedge funds held stakes in NVIDIA Corporation (NASDAQ:NVDA) worth $6.35 billion. In the first quarter of 2022, Fisher Asset Management raised its stakes in NVIDIA Corporation (NASDAQ:NVDA) by 44%, bringing them to $1.99 billion. As of March 31, Fisher Asset Management owns more than 7.3 million shares of NVIDIA Corporation (NASDAQ:NVDA) and is the largest shareholder in the company.
RiverPark Funds, an investment management firm, mentioned NVIDIA Corporation (NASDAQ:NVDA) in its “RiverPark Long/Short Opportunity Fund” first-quarter 2022 investor letter. Here is what the firm said:
“Nvidia is the leading designer of graphics processing chips (commonly known as GPU’s- graphics processing units), required for powerful computer processing. Over the past 20 years, the company has evolved through innovation and adaptation from a predominantly gaming- focused chip vendor to one of the largest semiconductor/software vendors in the world, dominating the core secular growth markets of gaming, data centers and professional visualization. Over the past decade, the company has grown revenue at a compound annual rate of over 20% while expanding operating margins and, through its asset light business model, producing ever increasing amounts of free cash flow. For 2021 the company generated 61% revenue growth to $27 billion, expanded its EBITDA margins to over 44% and generated over $8 billion of free cash flow. Over the past five years, the company has generated a cumulative $23 billion of FCF after cumulative capital expenditures of less than $4 billion.
We expect future growth to remain robust as NVDA chips and software are critical to many of the core technologies being adopted globally, including cloud computing, virtual reality and advanced artificial intelligence. As with NFLX, we took advantage of the over 40% recent drop in the company’s shares over the last several months to initiate a small position.”
You can also take a look at Top 10 Cloud Stocks To Buy and 15 Most Valuable Cloud Computing Companies.
