Nvidia NASDAQ:NVDA drew renewed investor attention after Ark Invest, led by Cathie Wood, purchased 78,965 shares of the AI chipmaker across its five largest exchange-traded funds on Tuesday, July 28. The purchase was valued at about $15.5 million based on Tuesday's closing price.
Nvidia shares have fallen about 17% from their mid-May high even after the company reported fiscal first-quarter revenue growth of 85% from a year earlier. The company's data center business posted 92% year-over-year revenue growth and accounted for the largest share of total sales. Nvidia also said adjusted operating income and earnings more than doubled from the prior-year period.
Nvidia has continued returning capital to shareholders through a higher dividend and an $80 billion share repurchase authorization. Based on current analyst estimates, Nvidia trades at about 22 times expected earnings for the current fiscal year and roughly 15 times projected earnings for next year, a valuation that some investors view as more attractive following the recent pullback.
Even so, Nvidia continues to face supply chain constraints, U.S.-China trade restrictions and tariff-related uncertainty. Despite those risks, investor interest in Nvidia remains centered on growing demand for AI infrastructure and graphics processors that power large-scale artificial intelligence workloads.