Nvidia Is Buying Shares of These 5 AI Companies. Should You Do the Same?
Nvidia (NASDAQ: NVDA) is one of the most closely watched companies in the world. It was once primarily known as a top supplier of gaming GPUs for PCs, but it subsequently evolved into the dominant producer of high-end data center GPUs.
Nvidia now generates most of its revenue from its data center GPUs, and demand for those chips is still outstripping supply as the artificial intelligence (AI) market expands. That's why its stock rallied more than 3,000% over the past five years, and why it's considered a linchpin and bellwether of the AI industry.
Which five stocks did Nvidia invest in?
In a 13F filing earlier this year, Nvidia disclosed its investments in five companies as of Dec. 31, 2023: SoundHound AI (NASDAQ: SOUN), Arm Holdings (NASDAQ: ARM), Recursion Pharmaceuticals (NASDAQ: RXRX), Nano-X Imaging (NASDAQ: NNOX), and TuSimple Holdings. Here's how much Nvidia invested in each of those companies, and how much their shares have rallied or declined since that disclosure.
| Company | Shares Bought | Market Value 12/31/2023 | Market Value 7/6/2024 | Gain (Loss) |
|---|---|---|---|---|
| SoundHound AI | 1,730,883 | $3.67 million | $7.25 million | 98% |
| Arm Holdings | 1,960,784 | $147.34 million | $355.27 million | 141% |
| Recursion Pharmaceuticals | 7,706,363 | $75.98 million | $56.41 million | (26%) |
| Nano-X Imaging | 59,632 | $0.38 million | $0.41 million | 8% |
| TuSimple Holdings* | 3,465,372 | $3.04 million | $0.87 million | (71%) |
Data source: Nvidia. *TuSimple delisted itself from the Nasdaq and moved to the OTC market in January 2024.
by Yahoo
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