From Nasdaq: 2024-04-13 05:50:00

The stock market is booming in 2023 and 2024, thanks to the surge in interest in artificial intelligence (AI). Nvidia has been a leader in the AI boom, with its share price soaring 239% last year and up 75% this year. However, two billionaire investors are now selling Nvidia and buying Amazon instead.

David Tepper and Chase Coleman, both billionaire investors, are reducing their positions in Nvidia and increasing their stakes in Amazon. Tepper’s Appaloosa fund sold almost 23% of its stake in Nvidia, while Coleman’s Tiger Global Management reduced its position by nearly 13%. This shift signals a change in enthusiasm for Nvidia among big investors.

Amazon, a leading e-commerce and cloud-services giant, is seen as a better AI stock to buy than Nvidia by Tepper and Coleman. Amazon’s strong performance in various segments, including generative AI and advertising, has led to increased confidence from investors. Tepper and Coleman have already seen positive returns from their increased investments in Amazon.

Investors should not make decisions solely based on the moves of Tepper and Coleman regarding Nvidia and Amazon. However, the reasons behind their shifts provide valuable insights. Amazon’s growth potential, driven by AI and advertising, makes it a promising long-term investment. Considering the continuing rise in profits and strong growth drivers, Amazon remains a solid choice for investors.



Read more at Nasdaq: 2 Billionaire Investors Are Selling Nvidia and Buying This Artificial Intelligence (AI) Stock Instead