Billionaire Tepper reduced stake in Nvidia, shifted focus to JD.com.

From NASDAQ.: 2024-09-24 05:06:00

The most important data release of the third quarter occurred on Aug. 14 when institutional investors with at least $100 million in assets filed Form 13F with the SEC. This filing offers insight into which stocks Wall Street’s top money managers bought and sold in the recent quarter. Tepper’s Appaloosa fund significantly reduced its stake in Nvidia during the second quarter.

Tepper’s move away from Nvidia could be due to concerns about an AI bubble, increased competition in the AI sector, insider selling, and the historically high valuation of the stock market. In contrast, Appaloosa significantly increased its position in JD.com during the quarter, despite challenges in the China market. JD.com has strong growth prospects, better risk management than Alibaba, and ample cash on hand.

JD.com is trading at just 6.5 times consensus earnings per share for 2025, offering significant value to investors. If you’re considering investing in Nvidia, it may be worth exploring other options based on the analysis from The Motley Fool’s Stock Advisor team. They recommend 10 stocks with potential for significant returns, none of which include Nvidia.



Read more at NASDAQ.: Billionaire David Tepper Sold 84% of Appaloosa’s Stake in Nvidia and Is Piling Into This Historically Cheap Cyclical Stock