Are Billionaires Loading Up on Nvidia Ahead of Its 10-for-1 Stock Split?
From Nasdaq: 2024-06-05 04:05:00
Nvidia’s stock split is attracting attention from investors, including billionaires who are known for holding positions in the company. Despite the split, some billionaire investors have reduced their stakes in Nvidia in recent months. Fractional share trading has also lessened the impact of stock splits on investor decisions.
While it’s uncertain if billionaires are buying Nvidia ahead of its stock split, there’s a possibility that some might be taking advantage of the psychological impact on retail investors. Additionally, Nvidia’s potential inclusion in the Dow Jones Industrial Average could attract more interest from large investors. The company’s strong Q1 results and upcoming Blackwell platform are also reasons why billionaires may consider buying Nvidia shares.
For income and risk-averse investors, Nvidia may not be the best choice due to its low dividend yield and premium valuation. However, for growth investors willing to take on some risk, Nvidia could offer promising prospects, especially with its continuous innovation in the AI chip market. The stock split may or may not have a significant impact, but Nvidia’s growth potential remains a key attraction for investors looking for long-term growth opportunities.
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