Billionaire Dan Loeb Sold Third Point's Entire Stake in Meta Platforms and Has Piled Into a Market Leader Whose Addressable Market Can 25X in a Decade

Core Insights - Third Point's Dan Loeb is making significant moves in the stock market, particularly in the AI sector, with a focus on Nvidia, which is positioned to benefit from a projected $4.8 trillion global AI market by 2033 [1][15]. Company Actions - Dan Loeb's Third Point exited its entire position in Meta Platforms, selling 665,000 shares, likely as a profit-taking measure after the stock more than doubled since the position was initiated [7][8]. - Third Point opened 10 new positions during the March-ended quarter, with a notable investment in Nvidia, acquiring 1.45 million shares, marking the first holding since Q2 2023 [14]. Market Trends - The global AI market is expected to grow from $189 billion in 2023 to $4.8 trillion by 2033, indicating a 25-fold increase over the next decade [15]. - Nvidia has become a dominant player in the AI GPU market, with demand significantly outpacing supply, allowing the company to charge over 100% premium compared to competitors [16]. Competitive Landscape - Nvidia's competitive edge is bolstered by its advanced GPU technology and the CUDA software platform, which enhances customer loyalty and maximizes the performance of its products [18]. - However, competition is intensifying, with major customers developing their own AI-GPUs, which could threaten Nvidia's pricing power and market share [20].