Does Nvidia Know Something Wall Street Doesn't? The Chipmaker Just Sold 4 Popular Artificial Intelligence (AI) Stocks and Bought 2 Others.

Core Insights - Nvidia has made significant changes to its investment portfolio, selling out of three AI stocks, trimming one position, and adding stakes in two others, reflecting its strategic response to market conditions and valuations [2][20]. Group 1: Notable Sales - Nvidia completely sold its position in SoundHound AI, offloading approximately 1.7 million shares valued at over $34 million, despite the company reporting record revenue growth of 89$50 million, even as the company reported a 254% year-over-year revenue increase [7][8]. - Nvidia sold its entire stake in Nano-X Imaging, which was its smallest investment, consisting of 60,000 shares worth roughly $429,000, while the company reported a 22$106 million, while still retaining over 1.1 million shares worth nearly $176 million [11][12]. Group 3: Notable Additions - Nvidia acquired approximately 1.2 million shares of Nebius Group for about$33 million, a company that has pivoted to offer cloud and AI services after relocating to the Netherlands [14][15]. - The company also invested in WeRide, purchasing more than 1.7 million shares worth nearly $25 million, following the company's strategic partnership with Uber for robotaxi services [18][19]. Group 4: Overall Strategy - Nvidia's sales appear to be a reaction to perceived stretched valuations, indicating a strategy of profit-taking and a reassessment of the financial and operational performance of its investments [20].