Billionaires Are Selling Nvidia Stock and Buying Up This Stock Instead
There's no question about it. Nvidia (NASDAQ: NVDA) has been the hottest stock of the generative artificial intelligence (AI) era.
The graphics processing unit (GPU) and AI hardware specialist has added more than $2 trillion to its market capitalization since ChatGPT was launched, well ahead of any other stock, and its shares are up by roughly 700% since the start of 2023.
While some billionaires caught on to that trend early, buying Nvidia shares as the disruptive potential of generative AI became clear, now it seems that many of those investors are beginning to think its surge has run out of steam. According to hedge-fund tracker WhaleWisdom, more top investors cut their stakes in Nvidia than added to them in the first quarter: 207 hedge funds increased their holdings of Nvidia in Q1, down from 269 in the fourth quarter. Meanwhile, 336 hedge funds reduced their holdings in the chip giant, roughly 60% more than the number of hedge funds that added to their positions.
Source Fool.com
