From Yahoo Finance: 2025-04-19 10:17:00

Tech stocks have struggled in 2025, dragging the S&P 500 down by 10%. Nvidia and Meta Platforms have seen significant drops. Blue Whale hedge fund manager Stephen Yiu is closely monitoring the situation, with 40% of his fund invested in tech. His moves regarding Nvidia and Meta Platforms are closely watched.

Investment in artificial intelligence has driven tech growth, with companies like Nvidia benefiting from AI demand. Companies have poured money into large language model AI chatbots and AI programs, prompting a major overhaul of enterprise and cloud network data centers. Hyperscalers’ spending on Nvidia chips has surged, with revenue reaching $130 billion in fiscal 2025.

The tech sector faces challenges as GDP slows and inflation persists. Consumer sentiment has dropped, raising fears of stagflation or recession. Yiu has sold shares in Meta Platforms and Microsoft due to uncertainties caused by a trade war. Despite this, he remains bullish on Nvidia, increasing his position in the company.

Yiu believes Nvidia is well-positioned for long-term success despite challenges, including a $5.5 billion charge due to restrictions on selling its H20 AI chip in China. He sees Nvidia as a strong player in the ongoing race for AI dominance. The tech landscape is evolving rapidly, with investors closely monitoring developments in the sector.



Read more at Yahoo Finance: Billionaire fund manager makes bold bets on Meta, Nvidia stock