5 Best Esports Stocks to Buy Now

2. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders: 173

NVIDIA Corporation (NASDAQ:NVDA) has been a household name in the gaming and esports industry due to its high-performance graphics processing units. NVIDIA Corporation (NASDAQ:NVDA) provides specialized hardware for Battle Royale games. The company’s GeForce graphics cards and NVIDIA G-SYNC power many competitive games like PlayerUnknown’s Battlegrounds, Counter-Strike: Global Offensive, and DOTA 2.

Additionally, due to the AI trend, the company hit a market cap of $1 trillion in May 2023, and it took less than a year for the company to become the first chipmaker to hit a $2 trillion market cap. NVIDIA Corporation (NASDAQ:NVDA) achieved this milestone on February 23. The stock was held by 173 hedge funds in Q4 with positions worth $33.76 billion. As of the fourth quarter, GQG Partners is the most dominant shareholder and has a position worth $6.88 billion.

On February 22, NVIDIA Corporation (NASDAQ:NVDA) declared a quarterly dividend of $0.04, payable by March 27 to the shareholders of record on March 6. As of March 8, the stock’s dividend yield is 0.02%. 

On February 21, NVIDIA Corporation (NASDAQ:NVDA) posted its Q4 non-GAAP EPS of $5.16, which beat the estimates by $0.52. The revenue of $22.1 billion grew 265.3% YoY, and topped the estimates by $1.55 billion.

Fred Alger Management mentioned NVIDIA Corporation (NASDAQ:NVDA) in its fourth quarter 2023 investor letter. Here is what it said:

“NVIDIA Corporation (NASDAQ:NVDA) is a leading supplier of graphics processing units (GPUs) for a variety of end markets, such as gaming, PCs, data centers, virtual reality and high-performance computing. The company is leading in most secular growth categories in computing, and especially artificial intelligence and super- computing parallel processing techniques for solving complex computational problems. Simply put, Nvidia’s computational power is a critical enabler of Al and therefore critical to Al adoption, in our view. During the period, shares contributed to performance as Nvidia reported solid fiscal third quarter results well above analyst expectations, driven by strong demand from data centers. Growing Al data center workloads are driving demand for the increased interconnections and fully accelerated software stacks, thereby enabling leading application performance and fast result times.”