Nvidia (NVDA) director Harvey Jones sold about $44 million worth of stock in what appears to be long-term profit-taking, not a signal of weakening confidence. The sale involved shares Jones had held since 1997, and he still owns more than 7 million shares through a family trust.
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The timing of the sale stands out because Nvidia stock has climbed about 27% so far this year, pushing the company’s market value to roughly $4.32 trillion and making it the world’s most valuable chipmaker.
At the same time, the sale does not change Nvidia’s business outlook. Demand for its AI chips remains strong as cloud providers and large enterprises continue to build out data center capacity.
A Closer Look at NVDA’s Insider Sale
According to a regulatory filing, Jones sold 250,000 shares on December 15 at an average price of $177.33 per share. Jones has served on Nvidia’s board since 1993, years before the company went public in 1999.
The transaction represents only a small portion of Jones’ total holdings. Even after the sale, he remains one of Nvidia’s largest long-term insiders, with exposure built over nearly three decades.
NVDA stock currently has a Very Negative Insider Confidence Signal on TipRanks, based on Informative Sell transactions worth $223.2 million undertaken in the last three months.
It is important to keep an eye on the Informative trades of corporate insiders, given their knowledge of a company’s growth potential. Interestingly, TipRanks offers daily insider transactions as well as a list of top corporate insiders. It also provides a list of hot stocks that boast either a Very Positive or Positive insider confidence signal.
Is NVDA a Good Stock to Buy Now?
According to TipRanks, NVDA stock has a Strong Buy consensus rating based on 39 Buys, one Hold, and one Sell assigned in the last three months. At $258.97, the Nvidia average share price target implies a 51.50% upside potential.
