Key Points
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Peter Thiel’s hedge fund, Thiel Macro, sold its entire stake in Nvidia during Q3 2023.
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Thiel redirected capital into Apple and Microsoft, seeing them as better long-term investments.
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Nvidia’s stock price surged nearly 1,000% amid the AI boom, and its current market cap stands at approximately $4.5 trillion.
Billionaire investor Peter Thiel has sold all shares of Nvidia (NASDAQ: NVDA) within his hedge fund, Thiel Macro, while reallocating investments into Apple (NASDAQ: AAPL) and Microsoft (NASDAQ: MSFT). This strategic decision follows Nvidia’s remarkable growth of around 1,000% due to the artificial intelligence (AI) revolution, leading to its significant valuation increase to about $4.5 trillion.
Thiel’s choice reflects a contrarian approach to investing, aimed at maximizing risk-adjusted returns. As Nvidia faces challenges amid its heavy market saturation and changing risk profile, Thiel views Apple and Microsoft as more promising investment opportunities due to their expansive ecosystems that may benefit from AI developments.
