Nvidia CEO Jensen Huang sold 100,000 shares of the company’s stock on Friday and Monday, according to a filing with the U.S. Securities and Exchange Commission (SEC). The sales are valued at nearly $15 million based on Tuesday’s opening price.
This marks the first sale in Huang’s plan to sell up to 6 million Nvidia shares by the end of 2025. Announced in March, this plan could total approximately $873 million at current prices.
Huang’s Holdings and Previous Sales
Despite the sales, Huang remains a major shareholder, owning more than 800 million shares, as reported in Monday’s SEC filing. With a net worth of about $126 billion, he ranks 12th on the Bloomberg Billionaires Index.
Last year, Huang sold approximately $700 million worth of Nvidia shares under a similar prearranged plan.
Nvidia’s stock has surged over 800% since December 2022, driven largely by the rise of AI technologies such as OpenAI’s ChatGPT, which rely on Nvidia’s graphics processing units (GPUs). These chips are essential for powering AI applications, and Nvidia has since released two new generations of AI GPU technology.
The company’s stock has grown 9% this year despite challenges like export controls that may restrict access to foreign markets. In May, Nvidia reported a 69% year-over-year revenue increase in the first quarter, reaching $44 billion.
Author’s Opinion
Huang’s gradual sale of Nvidia shares is a prudent financial strategy, reflecting confidence in the company’s long-term value while diversifying his holdings. The stock’s incredible rise shows strong market demand, but even the most successful CEOs need to balance personal wealth management with corporate leadership. This plan provides liquidity without undermining investor confidence in Nvidia’s future.
Featured image credit: Heute
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