Always remember that investments can go down as well as up in value, so you could get back less than you put in. A rule of thumb is to hang on to your investments for at least five years to give them the best chance of providing the returns you want.
If you’re considering diversifying your investment portfolio by exploring opportunities in advanced graphics processing and artificial intelligence computing, NVIDIA Corporation (NVDA) might just be the perfect stock for you. But how do you buy NVIDIA shares if you’re located in the UK? In this article, we’ll walk you through the process of buying NVIDIA shares, giving you insight into various investment techniques and the best time to buy.
Invest in NVIDIA ($NVDA) Shares With 0% Commission!
Capital at risk. Other fees apply.
Depending on your budget, attitude to risk, and investment goals, there are several other ways to buy NVIDIA shares in the UK, including buying NVIDIA shares through a fractional share provider, mutual fund or ETF, investment trust, and even contracts for difference (CFDs).
Let’s delve into each method:
A common method to directly invest in NVIDIA shares is through a broker. A broker is a financial institution that allows you to buy and sell stocks on the stock market. The UK offers a variety of brokers, including traditional full-service brokers and online discount brokers.
To buy NVIDIA shares in the UK through a broker, follow these steps:
When buying NVIDIA shares through a broker, it is important to be aware of any fees and charges associated with the investment. Brokers typically charge a commission for each trade, which can vary depending on the broker and the size of the trade.
Some brokers charge additional fees, like account maintenance fees, FX fees or inactivity fees, which can eat into your returns if you’re not careful. It is also worth considering the tax implications of buying NVIDIA shares, as you may be subject to Capital Gains Tax and Stamp Duty Reserve Tax.
Investing in NVIDIA doesn’t always require buying a full share at a time. Fractional shares present a unique alternative for potential investors on a tight budget or those who prefer to invest smaller sums regularly.
For example, let’s assume NVIDIA’s share price is currently £250, but you only have £50 to invest. You can use a fractional share provider to buy one-fifth of a share of NVIDIA. Top fractional share providers in the UK include trading platforms such as eToro and Freetrade.
When buying fractional shares of NVIDIA, the steps are much like those of buying whole shares through a broker, with the key difference being that you’ll be specifying the amount of money you wish to invest or the proportion of a share you desire to own rather than the number of whole shares.
To buy fractional shares of NVIDIA in the UK, follow these steps:
Keep in mind that while most fractional share providers do not charge a commission for each trade, there can be other fees, such as FX fees, withdrawal fees, and platform fees. Always make sure you’re aware of these before you start investing.
Another way to invest in NVIDIA shares is indirectly through a mutual fund or ETF. These funds pool money from multiple investors to purchase a variety of stocks or other assets, helping you achieve greater diversification while still gaining exposure to NVIDIA.
To invest in NVIDIA shares in the UK through a mutual fund or ETF, follow these steps:
When investing in a mutual fund or ETF that holds NVIDIA shares, it is important to be aware of any fees and charges associated with the investment. Mutual funds and ETFs typically charge a fund management fee (expense ratio or ongoing charges figure (OCF)), which can vary depending on the fund and the size of your investment. Some funds may also charge additional fees, like transaction fees or redemption fees, which can impact your returns.
You can also buy NVIDIA shares in the UK by investing in an investment trust, which functions a bit like a mutual fund or ETF, but with certain distinctions.
Contracts for difference (CFDs) are financial derivatives that allow you to speculate on the price movement of NVIDIA shares without owning the underlying asset. This means that you can potentially profit whether the price of NVIDIA shares rises or falls, depending on whether you take a ‘long’ (buy) or ‘short’ (sell) position.
For instance, if NVIDIA shares are trading at £250 each, and you anticipate a price drop, you could ‘sell’ or ‘short’ 10 CFDs. If the share price decreases to £240, you could close your position, making a profit from the declining market.
It is important to remember that trading CFDs is complex and carries a high level of risk, so it may not be suitable for all investors.
Here are the steps to trade NVIDIA shares in the UK using CFDs:
CFD trading carries significant risks, and it is essential to fully understand these risks before you start trading. Also, profits from CFD trading are subject to Capital Gains Tax in the UK, but losses can be used to offset gains. Always make sure to use risk management tools like stop-loss orders to limit potential losses.
To sum up, buying NVIDIA shares in the UK can be achieved through several methods, including buying full shares, purchasing fractional shares, investing in mutual funds or ETFs, or speculating on price movements through CFDs. Each method has its advantages and disadvantages, so choosing the best one for you depends on your individual financial situation, investment goals, risk tolerance, and investing experience. It is always a good idea to conduct thorough research or seek advice from a financial advisor before making investment decisions.
We’ve compiled a list of the best places to buy NVIDIA shares in the UK. These are our top ten trading platforms for buying, selling, and holding UK and overseas stocks and shares, exchange-traded funds (ETFs), exchange-traded commodities (ETCs), investment trusts (ITs), contracts for difference (CFDs), foreign exchange (forex), and other trading products.
Please keep in mind that when you trade, your capital is at risk. The fees below are not exhaustive–other fees apply. ISA, pension, and tax rules also apply.
Here are the best places to buy NVIDIA shares in the UK:
eToro is a multi-asset trading platform that offers both investing in stocks and cryptoassets, as well as trading CFDs. With eToro, UK traders have real-time access to thousands of stocks, ETFs, indices, commodities, forex, cryptocurrencies, and NFTs from top exchanges worldwide. Catering to beginners and expert traders, eToro provides an impressive range of fundamental and technical analysis tools, including market news, economic data, social media trends, news sentiment trends, and advanced charting tools. ProCharts, a professional-grade technical analysis tool available on eToro, allows users to compare charts from different financial instruments and time frames. eToro also offers risk management tools, such as Stop Loss, Take Profit, and Trailing Stop Loss, to help you better manage your positions and protect your investments.
For customers who prefer ready-made investment portfolios, eToro has over 40 fully allocated, balanced investment portfolios, focusing on market segments you can understand and relate to. Some of the portfolios include MetaverseLife, BigTech, GoldWorldWide, Vaccine-Med, BitcoinWorldWide, Diabetes-Med, Driverless, and GigEconomy. These portfolios are a grouping of several assets, such as stocks, cryptocurrencies, ETFs, and even people, bundled together based on a predetermined theme or strategy. eToro also offers Copy Trading, a unique feature that allows everyday investors to copy the trades or investments of top-performing traders on the eToro platform. Anyone can copy trades on eToro; likewise, anyone can give others access to copy their trades. If you are an expert trader approved to participate in eToro’s Popular Investor Program, where others copy your trades, you will be eligible to receive monthly earnings.
It is entirely free to open an account with eToro, and all registered users receive a US$100,000 demo account for free, which you can use to practise trading until you become confident. Trading on eToro occurs in USD, so a currency conversion fee will apply if you deposit or withdraw in a currency other than USD. Withdrawals incur a fee of US$5 (£4), and the minimum withdrawal amount is US$30 (£24). For UK customers, eToro offers an eToro Money app that allows you to convert your GBP to USD free of charge, thereby reducing your foreign exchange costs. eToro does not offer an ISA or SIPP.
Please note: Your capital is at risk. 80 - 90% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Additionally, cryptoassets are highly volatile and unregulated in the UK. No consumer protection. Tax on profits may apply. Copy Trading does not amount to investment advice. Other fees apply. For more information, visit eToro.
Interactive Investor is a subsidiary of wealth management giant Abrdn and the second-largest investment platform in the country. Also well known for its fixed monthly subscription fees (as opposed to annual percentage-based fees like most other investment platforms), Interactive Investor has been providing investment services and financial information to UK customers since 1995.
If you choose to invest with Interactive Investor, you will gain access to over 40,000 investment options, including UK and overseas shares, funds, investment trusts, and ETFs. This is the second-widest choice of UK and international investments offered by an investment platform in the UK. Interactive Investor allows you to build your portfolio in multiple ways depending on your investment goals, attitude to risk and personal preferences. Beginner investors or those who prefer ready-made investments can build their portfolios using Interactive Investor’s Quick-Start Funds, an easy way to start investing where you choose from six low-cost funds prepared by the team of experts at Interactive Investor. Advanced or more confident investors can choose from a wide range of funds and shares and build their portfolios themselves. Interactive Investor gives you access to 17 global stock exchanges, including exchanges in North America, Europe and Asia Pacific. These include markets such as the FTSE 100, FTSE 250, FTSE All-Share, S&P 500, NASDAQ, NYSE, Dow Jones and more. In addition to the above, Interactive Investor offers Japanese, Indian and Chinese shares in the form of American Depositary Receipts (ADRs).
Interactive Investor gives you a free trade every month, which you can use to buy or sell any investment. After that, trades usually cost £3.99. For those investing £50,000 or less, you can sign up for the cheapest plan (Investor Essentials), which costs only £4.99 a month but does not come with the monthly free trade. The platform also offers a free regular investing service that allows you to deposit as little as £25 a month towards your investments without paying a trading fee each time, irrespective of the plan you choose. Interactive Investor also has lots of expert ideas, research and insights, which can be helpful when selecting investments. Interactive Investor’s suite of products includes a Trading Account, Stocks and Shares ISA, SIPP and Junior ISA.
Capital at risk.
Founded by ex-Wise (TransferWise) employees, Lightyear is a new low-cost pan-European investing app on a mission to provide everyone friction-free access to the international financial markets. With Lightyear, you can invest in over 3,500 UK and overseas stocks and ETFs and access real-time market data and live news while managing your investments in multi-currency accounts. The Lightyear multi-currency accounts allow you to earn competitive interest on uninvested cash in pounds sterling, euros, and US dollars and save on foreign exchange costs by holding your investments in their local currencies. Users can have balances in all three currencies at the same time, and there is no fee for opening a multi-currency account.
The Lightyear mobile app, available on iOS and Android devices, is simple yet powerful. Users can access market updates, professional analyst ratings and price targets via a clean and user-friendly interface. You can also tune in to earning calls directly from your mobile phone or web browser and enjoy keeping up-to-date with the latest happenings about the stocks you own or follow.
Opening an account with Lightyear is free, and you can start building a portfolio with as little as you are comfortable with. Dealing UK, US, and EU shares cost £1, 0.1% (up to $1 max), and €1 per order, respectively. There is no dealing charge for trading ETFs. However, a 0.35% FX fee applies when converting one currency to another. Lightyear also charges a 0.5% transfer fee when depositing with your card (after exhausting the free £500 lifetime allowance). However, there are other means of depositing funds that are completely free. Other fees may apply. Lightyear does not offer an ISA or SIPP.
Capital at risk.
InvestEngine is a low-cost ETF investment platform that provides a choice of managed portfolios tailored to you and commission-free DIY investing to help you build long-term wealth. Users can invest in over 500 exchange-traded funds (ETFs) from leading global asset managers.
With InvestEngine, you can invest in two ways depending on your tolerance for risk and savviness as an investor: beginner investors or those who prefer a ready-made investment portfolio can select from one of the managed portfolios on offer, where the team of experts at InvestEngine will take care of the day-to-day investment decisions for you. These portfolios are a selection of ETFs based on your preferences and risk tolerance. Once you’ve selected one, you do not have to do anything else besides monitor the performance of your investments. Advanced or more confident investors can choose from 500+ commission-free ETFs and build their portfolios themselves. InvestEngine also offers fractional investing, which allows you to buy bits and pieces of an ETF with as little as £1. This enhances your ability to build a diversified portfolio even if you have a small amount of money to invest. With the DIY Portfolio, there are no platform fees. However, the managed portfolios attract a fee of 0.25% per year. All InvestEngine portfolios are free of set-up fees, dealing fees, ISA subscription fees or withdrawal fees.
InvestEngine stands out amongst its competitors as one of the cheapest trading platforms in the UK because it charges no platform or management fees on its DIY Portfolio and just 0.25% a year on its managed portfolio. You can also start investing with as little as £100. InvestEngine’s suite of products includes a Stocks and Shares ISA, Personal Account and Business Account.
Capital at risk.
Freetrade is a mobile trading app that gives you access to thousands of UK and overseas stocks, ETFs, REITs, and investment trusts covering different sectors and markets worldwide. The Freetrade app can be accessed on iOS, Android and desktop devices and offers a slick and easy-to-use user interface and experience. The app is a great choice for both beginners and experienced investors.
With Freetrade, you can invest in fractional shares of even the most expensive US shares with as little as £2. Depositing, trading and withdrawing on Freetrade are commission-free (other charges may apply). FX rates apply to US stocks at the spot rate + 0.99%. To get the most out of Freetrade, you can choose from three subscription plans. The Basic Plan costs £0.00 per month and allows you to open a General Investment Account (GIA) and trade commission-free. The Standard Plan costs £5.99 per month and allows you to open a Stocks and Shares ISA in addition to your GIA. With the Plus Plan at £11.99 a month, you get a Self-Invested Personal Pension (SIPP) and a Stocks and Shares ISA in addition to your GIA. Dealing on Freetrade is commission-free, irrespective of the subscription plan you choose. Freetrade’s suite of products includes a Stocks and Shares ISA, General Investment Account (GIA) and SIPP.
Promo: Get a free share worth £10 when you join Freetrade and fund your account with at least £50.
Please note: When you invest, your capital is at risk. The value of your investments can go down as well as up, and you may get back less than you invest. ISA rules apply. SIPP eligibility and tax rules apply. Free share terms and conditions apply.
Moneybox is a UK investment app that allows you to invest in a range of tracker funds, exchange-traded funds (ETFs), exchange-traded commodities (ETCs) and US stocks. Moneybox offers two forms of investing depending on your investing savviness, investing strategy and attitude to risk. Beginner investors or those who prefer a ready-made portfolio can choose from the three ready-made portfolios on offer - Cautious (lower risk), Balanced (medium risk) and Adventurous (higher risk). Advanced or more confident investors can pick from the range of tracker funds, ETFs, ETCs and US stocks available and build their portfolios themselves.
The Moneybox app also empowers you to invest your spare change by rounding up your card transactions to the nearest pound and investing the difference on your behalf. For example, if you spend £2.30 on a snack, Moneybox will invest 70p for you. You can also instruct the app to make weekly or one-off deposits into your investment portfolio as it rounds up your spare change.
You can start investing with Moneybox with as little as £1. Moneybox offers commission-free trading on US stocks. However, fund management fees apply to other types of investments, ranging from 0.12% to 0.61% per annum. A currency conversion fee of 0.45% also applies to US stocks. Moneybox also charges an annual platform fee of 0.45% and a monthly subscription fee of £1 (you get the first three months free). Moneybox’s suite of products includes a Stocks and Shares ISA, Lifetime ISA, Junior ISA, Personal Pension, and General Investment Account.
Capital at risk.
XTB is a user-friendly, fully-customisable European trading platform renowned for its extensive CFD and forex trading offerings. XTB provides traders instant access to hundreds of global markets and over 5,600 instruments, including UK and overseas stocks and shares, ETFs, forex, indices, commodities, stock CFDs, and ETF CFDs.
With XTB, you can trade using the in-house trading software, xStation, or via MetaTrader 4 (MT4). xStation by XTB is a powerful trading software available on iOS, Android and desktop devices and suitable for both beginners and advanced traders. The xStation software gives you access to comprehensive charting and risk management tools. With the inbuilt trading calculator, you can easily estimate costs, profits or losses before opening a position, modify stop loss and take profit orders directly on the chart or close all positions with a click of a button. XTB also provides an extensive library of educational materials, including videos, webinars, and courses suitable for both beginners and experienced traders. When you sign up, you will have access to a dedicated account officer who will work with you to help you better understand your needs and how XTB operates.
It is free to open a trading account with XTB, and all users have access to a free demo account with £100,000 in virtual funds that you can use to practise trading and investing until you become confident enough to use real money. Deposits in GBP and EUR are free of charge, but withdrawals below £60 have a £12 processing fee. Real stock trading is commission-free for monthly turnovers up to €100,000 (£85,000). Transactions above this limit will attract a commission of 0.2% (minimum €10 (£8.50). Stock and ETF CFD trading are also commission-free. Spreads and margins apply to other products. Inactive accounts attract a monthly fee of €10 (£9). Other fees apply. For more information, visit XTB. XTB does not offer an ISA or SIPP.
Please note: Contracts for Difference (CFDs) are leveraged products and carry a significant risk of loss to your capital, as prices may move rapidly against you, and you may be required to make further payments to keep any trades open. Between 74 and 89% of retail investor accounts lose money when trading CFDs. These products are not suitable for all clients. Therefore, please ensure you fully understand the risks and seek independent advice.
AJ Bell is one of the UK’s largest online investment platforms, and its mission is to make investing as easy as possible for anyone. The platform offers thousands of investment options for the DIY investor, including shares, funds, bonds, investment trusts, ETFs, ETCs, and warrants.
There are multiple ways to get started with AJ Bell, depending on your risk tolerance and investing savviness. Beginner investors or those who prefer to choose a ready-made investment portfolio can get a little, or a lot, of help from AJ Bell’s specialists by selecting one of the investment ideas on offer. Investment ideas are diversified ready-made baskets of investments that you can select based on your personal preference and attitude to risk. There are eight total investment ideas, each built by a specialist team, and you can pick the right one for you depending on whether you are seeking to simply grow your money over time or receive an income whilst still growing your money. Expert investors can take advantage of the stock and fund screeners and complex instruments available on AJ Bell and build their portfolios themselves.
AJ Bell charges an annual platform fee ranging from 0.25% to 0%, depending on the size of your portfolio. Dealing fees for buying and selling investments online are £1.50 for funds and £9.95 for shares (reducing to £4.95 if there were 10 or more online share deals in the previous month). AJ Bell’s products include a Share Dealing Account, Stocks and Shares ISA, Junior Stocks and Shares ISA, Lifetime ISA, SIPP and Junior SIPP.
Capital at risk.
Bestinvest is a UK low-cost investment platform that allows you to trade or invest in over 3,000 instruments, including shares, funds, ETFs, and investment trusts. With Bestinvest, you can build an investment portfolio in two ways depending on your personal preferences, goals and attitude to risk.
Beginners or those who prefer a ready-made investment can build their portfolio by selecting one of Bestinvest’s ready-made investment portfolios. These off-the-shelf style portfolios are created and managed by the team at Bestinvest and come with a carefully selected and diversified collection of investments. Once you have picked one, you do not need to do anything else. There are three ranges to choose from: Expert, Smart and Direct, depending on whether you want to maximise the returns for the risk you take, focus on cost-efficiency or focus on individual investments. The team at Bestinvest will walk you through the process of selecting a ready-made portfolio. Advanced or more confident investors can choose from a wide range of funds, shares, ETFs and ITs and build their portfolios themselves.
To start building your portfolio with Bestinvest, you can deposit a lump sum or set up a monthly savings plan (which allows you to automatically save or invest a set amount into your investment account every month). There are no set-up fees or fund dealing charges with Bestinvest. Bestinvest charges an annual platform fee ranging from 0.40% to 0% for DIY investing and 0.20% to 0% for ready-made investing. The dealing fee for buying and selling shares online is £4.95 per deal. Bestinvest’s suite of products includes a Stocks and Shares ISA, Junior Stocks and Shares ISA, General Investment Account, SIPP and Junior SIPP.
Capital at risk.
Saxo Markets is the UK division of Saxo Bank, a large European bank that allows you to invest in 71,000+ financial products from stock markets worldwide. With Saxo Markets, you can invest in UK and overseas stocks and shares, bonds, ETFs, forex, CFDs, futures, commodities and options.
Saxo Markets allows you to invest in one of two ways depending on your investing savviness: Beginner investors or those who prefer to choose a ready-made portfolio can select from one of the managed portfolios on offer where Saxo experts navigate the markets and manage your investments on your behalf. The average cost of this managed portfolio is 0.95% per year (including fund costs). Advanced or more confident investors can choose from the range of financial products on offer and build their portfolios themselves. Saxo Markets traders benefit from extensive charting with 50+ technical indicators, integrated trade signals, news feeds and risk-management features via the SaxoTraderGO platform. Advanced traders can access even more sophisticated trading features on SaxoTraderPRO, Saxo Bank’s desktop-only advanced trading platform.
Saxo Markets has different transaction fees grouped into trading tiers. If you plan to trade high volumes, you can upgrade your tier to get lower transaction fees. The Classic tier, which attracts the highest trading fees, costs 0.10% (min. £8) per deal for UK Stocks and US$0.02 (min. US$10) per deal for US Stocks. Other fees apply. Saxo Markets’ suite of products includes a Trading Account, Stocks and Shares ISA and SIPP.
Please note: Capital at risk. 65% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
As of September 2023, a single share of NVIDIA Corporation (NASDAQ: NVDA) is valued at approximately $455 (£366).
The share price reflects the market’s perception of NVIDIA’s value and can fluctuate based on various factors such as company performance, industry trends, economic conditions, and investor sentiment.
To stay updated on the current NVIDIA share price, you can check financial news websites and brokerage platforms or utilise stock market analysis tools, such as TradingView. These sources provide real-time or delayed pricing information, historical charts, and other relevant data to help you make informed investment decisions.
It is important to note that share prices are subject to market volatility and can experience significant fluctuations over time. While a higher share price might indicate positive market sentiment, it doesn’t necessarily guarantee future gains. It is crucial to evaluate other factors, such as the company’s financial health, competitive position, and growth prospects, to form a comprehensive assessment of NVIDIA’s investment potential.
Before making any investment decisions based on the share price, consider your investment goals, risk tolerance, and time horizon. It is often advisable to take a long-term perspective when investing in stocks like NVIDIA, as short-term price movements can be influenced by market noise and speculation.
Remember, the share price alone does not provide a complete picture of an investment’s value. Conduct thorough research, analyse the company’s fundamentals, and consider seeking advice from a financial adviser to make well-informed investment choices based on your individual circumstances and goals.
The question of whether to buy NVIDIA shares comes down to your confidence in the company’s financial performance and its comprehensive and innovative product suite.
As of September 2023, NVIDIA, with a market capitalisation surpassing $1.13 trillion, commands a prominent position in the world of technology. Its pioneering role in GPU technologies, substantial contributions to artificial intelligence (AI), significant penetration in the gaming industry, and the proliferation of data centres all add to its potential as a promising investment. However, it remains crucial to conduct extensive personal research and consider your investment objectives before making a decision.
Let’s explore the reasons why NVIDIA might be a fitting choice for your portfolio:
Despite these strengths, NVIDIA reported GAAP earnings per diluted share were $1.74, down 55% from a year ago. Non-GAAP earnings per diluted share were $3.34, down 25% from a year ago. These declines are attributed to increased research and development costs and supply chain disruptions caused by the global chip shortage.
Overall, NVIDIA’s leadership in GPU technologies, AI, data centres, and the gaming industry, coupled with its strong financials, presents a compelling investment opportunity for investors seeking long-term growth and innovation. However, like any investment, it is essential to carefully evaluate the risks and potential returns before making a decision.
When conducting your own research, the best places to find data on NVIDIA include NVIDIA’s investor relations website, news sites such as CNBC and Financial Times, and charting and trading websites such as TradingView and Investors Business Daily’s MarketSmith.
While the benefits of investing in NVIDIA are compelling, it is equally crucial to remember the associated risks. These include competition in the tech industry, regulatory risks, dependence on key segments, and economic conditions.
Let’s examine these risks:
Remember, it is important to consider these potential risks alongside the potential benefits when making investment decisions. Conducting thorough research and understanding your personal risk tolerance is crucial.
When considering whether to invest in NVIDIA shares, it is essential to assess various factors and evaluate their potential impact on your investment. While conducting thorough research and seeking regulated financial advice is recommended, let’s explore some key points to consider when buying NVIDIA shares:
The cheapest way to buy NVIDIA stock is through a commission-free fractional share broker such as eToro, Freetrade, or Moneybox. These brokers allow investors to purchase fractional shares of NVIDIA stock, making it more affordable than buying full shares. Additionally, they do not charge a trading fee each time you buy or sell a share, making your transactions cost-efficient.
Another budget-friendly method to gain exposure to NVIDIA’s stock is through mutual funds and exchange-traded funds (ETFs) that invest in the company. These funds typically have lower fees and expenses than actively-managed funds, thereby providing cost savings to investors. For instance, the VanEck Semiconductor ETF (SMGB) includes NVIDIA among its holdings, along with other prominent companies in the semiconductor sector.
While contracts for difference (CFDs) might seem cheaper in terms of upfront costs, they can end up being more expensive in the long run due to higher fees and leverage costs. As with any investment, it’s crucial to consider the real cost of investing in NVIDIA shares, which will depend on various factors such as the size of your investment, how frequently you trade, and the fees and charges associated with different investment options. By carefully evaluating your options and seeking cost-effective strategies, you can enhance your returns while reducing your costs.
As a new investor, you might be wondering if it’s worth buying one share of NVIDIA. The answer to this question largely depends on your investment objectives, risk tolerance, and overall financial situation.
On one side of the equation, owning a single share of NVIDIA can be an exciting way to partake in the growth potential of one of the world’s foremost technology companies. NVIDIA has historically performed well in the stock market, and the company is widely recognised for its innovations and stability in the semiconductor and artificial intelligence sectors.
However, purchasing a single share of NVIDIA may not be the most cost-effective strategy for investing in the stock market. The current market price for a single share of NVIDIA might be prohibitive for some investors, and you could encounter high commissions and fees for a small investment.
If you’re intrigued by the prospect of investing in NVIDIA but are hesitant to buy a full share, fractional shares or exchange-traded funds (ETFs) that include NVIDIA might be a more appealing option. These investment vehicles allow you to invest in NVIDIA with a smaller financial commitment and may offer lower fees and expenses compared to buying individual shares.
Ultimately, the worth of buying a single share of NVIDIA is subjective and depends on your individual investment goals and risk tolerance. It’s always wise to consult with a financial adviser and conduct thorough research before making any investment decisions.
If you buy NVIDIA stock today, you’ll become a shareholder in the company and stand a chance to benefit from its growth and profitability over time. As a shareholder, you’re entitled to vote on certain company matters, and you may also receive dividends should the company decide to distribute them.
Investing in the stock market is always associated with some level of risk, and the price of NVIDIA’s shares can be influenced by various factors, including market conditions, the company’s performance, and investor sentiment. This implies that there’s a risk of losing money if the share price declines.
Nevertheless, if NVIDIA continues its upward trajectory and growth over time, your investment in the company might appreciate in value, thus offering a return on your investment. Carefully monitoring market conditions and staying informed about the company’s performance enables you to make informed decisions regarding when to buy and sell NVIDIA stock, potentially maximising your returns over time.
For example, keeping track of NVIDIA’s advancements in AI, GPU development, and its strategic partnerships can provide insights into the company’s growth trajectory. NVIDIA’s acquisition of companies like Arm and Mellanox, the success of its products, such as GeForce GPUs and CUDA software, and its expanding presence in the data centre market are all indicators of the company’s strong performance.
Determining the best time to buy NVIDIA stock can be complex, given the many factors that can influence its price. Nonetheless, certain strategies can guide you in making well-informed investment decisions when considering the ideal time to purchase NVIDIA stock.
Here are three strategies to help you discern the best time to buy NVIDIA stock:
Ultimately, the best time to buy NVIDIA stock will depend on your individual financial goals and risk tolerance. By carefully assessing your options and staying informed about market conditions, you can make informed decisions about when to invest in NVIDIA stock and potentially enhance your long-term returns.
Whether you choose to utilise pound-cost averaging, focus on long-term growth potential, or adopt a different strategy, it is crucial to remain patient and committed to your chosen investment approach.
The minimum number of NVIDIA shares you can buy depends on the brokerage platform you decide to use. Some brokers might require the purchase of at least one full share, which, as of September 2023, could cost over £200.
However, certain brokers offer the option to buy fractional shares, allowing you to purchase a smaller portion of a share instead of a whole one. This means investors can own a piece of a company like NVIDIA with less capital than would be needed to buy a full share. For instance, if NVIDIA’s share price stands at £200 and you have £50 to invest, you could utilise a fractional share brokerage platform to acquire 0.25 shares of NVIDIA. In this scenario, you’d own one-quarter of an NVIDIA share, and your investment would be worth £50 based on the current share price.
Investing in fractional shares can be a beneficial strategy for those investors interested in owning shares in high-valued companies like NVIDIA but might not have the capital to acquire a full share. Nevertheless, it’s worth noting that some brokers might impose fees for fractional share purchases or may only offer the option for specific stocks or ETFs. It’s crucial, therefore, to thoroughly research the fees and terms of any broker before deciding to use their platform for fractional share investing.
Every month, we’ll send you The Plug - a curation of the best personal finance content in the UK. We share real-life stories, how-to guides, top personal finance news, popular community questions, and tips to help you stay on top of your money.