Billionaire Ken Fisher increasing stake in Nvidia while reducing investment in AMD

From Nasdaq: 2024-10-29 05:06:00

In the mid-1990s, the internet revolutionized sales channels for businesses, boosting the U.S. economy. Now, artificial intelligence (AI) is poised to be the next big advancement, with PwC predicting a $15.7 trillion impact on the global economy by 2030. Nvidia (NASDAQ: NVDA) has seen a valuation increase of over $3 trillion since 2023.

Nvidia’s dominance in AI-driven software and hardware has attracted billionaire investors like Ken Fisher, who has been steadily increasing his fund’s stake in the company. Fisher Asset Management holds close to 93.4 million shares of Nvidia, making it one of their top holdings. Nvidia’s upcoming Blackwell GPU is expected to maintain the company’s competitive edge in the market.

Despite Nvidia’s success, Fisher Asset Management has been selling off shares of Nvidia’s rival, Advanced Micro Devices (NASDAQ: AMD). The hedge fund reduced its stake in AMD by about 20% in the second quarter of 2024, favoring Nvidia’s stronghold in the AI-GPU market. Fisher’s team may have concerns about AMD’s valuation and growth prospects, leading to the decision to offload some shares.

Fisher’s investment decisions reflect a strategic focus on companies with strong positions in high-growth markets, such as AI. While Nvidia has been a standout performer, Fisher’s moves indicate a cautious approach towards companies like AMD, which may face challenges in a changing economic landscape. Fisher’s alignment with Nvidia underscores the potential for long-term growth in the AI sector.



Read more at Nasdaq: Billionaire Ken Fisher Is Piling Into Artificial Intelligence (AI) Colossus Nvidia and Dumping Shares of Its Primary Rival