Jensen Huang Offloads NVIDIA Shares as AI Chip Demand Surges
NVIDIA Corporation (Nasdaq: NVDA) CEO Jensen Huang has accelerated his stock sales in recent weeks, sparking discussions about the company’s future outlook. According to Securities and Exchange Commission filings, Huang has sold over $133 million worth of NVIDIA shares in September alone, with five transactions totaling 1.2 million shares.
The latest sale, reported on September 16, saw Huang offload 240,000 shares at an average price of $118.97, generating $28.5 million in gross proceeds. This transaction follows a pattern of consistent selling by the CEO, with similar sales occurring on September 12, 10, 6, and 4. The selling spree comes at a time when NVIDIA’s stock has experienced significant volatility, recently hitting a 52-week high of $140 before settling around $119.
While insider selling doesn’t necessarily signal a decline, the absence of insider purchases over the past year has raised eyebrows among investors. In total, insiders have sold 6.87 million shares during this period, with Huang’s transactions accounting for a substantial portion of the selling activity.
Despite these sales, NVIDIA’s future remains bright in the eyes of many analysts. The company’s dominance in the GPU market and its pivotal role in the artificial intelligence sector continue to drive optimism. Huang himself has noted strong demand for NVIDIA’s chips, with customers expressing concerns about supply shortages.
The anticipated launch of NVIDIA’s next-generation Blackwell chips is expected to further fuel demand. Tech giants like Microsoft Corporation (Nasdaq: MSFT), Meta Platforms, Inc. (Nasdaq: META), and Alphabet Inc. (Nasdaq: GOOGL) have already placed orders worth billions of dollars for these chips, highlighting the industry’s confidence in NVIDIA’s technology. Amazon.com, Inc. (Nasdaq: AMZN) is also expected to transition from the current Hopper platform to Blackwell.
Market analysts remain bullish on the chipmaker’s prospects. Jake Wujastyk, a stock market analyst, recently suggested that NVIDIA might be poised for another price surge, citing a Moving Average Convergence Divergence (MACD) crossover on the daily chart similar to one observed before a sharp upward move in August.
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