4. NVIDIA Corporation (NASDAQ:NVDA)
Duquesne Capital’s Equity Stake: $401.90 Million
Number of Hedge Fund Holders: 175
NVIDIA Corporation (NASDAQ:NVDA) makes computer graphics chips, software, and systems for gaming, design, cloud, AI, and more. Its graphics processing units are in high demand for powering artificial intelligence innovations. The strong demand has seen the company deliver record-breaking earnings and revenues. Consequently, NVIDIA Corporation (NASDAQ:NVDA) remains one of Druckenmiller’s top stock picks in the technology sector, having rallied by about 200% year to date.
NVIDIA Corporation (NASDAQ:NVDA) is now a trillion-dollar empire and accounts for 13.98% of Duquesne Capital’s portfolio on stakes worth $401.90 million. Duquesne Capital has been a long-term investor in NVDA, as it has held the stock for more than five years. It started accumulating a position in the company in Q2 2016. The hedge fund has increased its stake in NVIDIA Corporation (NASDAQ:NVDA) over time, as it has bought more shares than it has sold in most quarters. NVDA has been one of the top holdings of Duquesne Capital, as it has accounted for more than 5% of the portfolio in several quarters.
The company had 175 hedge funds owning shares in it at the end of Q2 2023, out of the 910 funds that Insider Monkey tracks. NVIDIA Corporation (NASDAQ:NVDA)’s notable stakeholder in Q3 2023 was Nancy Zevenbergen’s Zevenbergen Capital Investments, with a stake worth around $285 million.
In its Q3 2023 investor letter, the Artisan Developing World Fund shared the following observation regarding NVIDIA Corporation (NASDAQ:NVDA):
“Our focus on scalable business models has its roots in our economic framework. As potential output moderated in most emerging countries, it became clear to us affordability was not improving and that low penetration was necessary but not sufficient for value creation. We eliminated companies from the portfolio that were struggling to generate revenue significantly in excess of fixed costs, often replacing them with passport companies such as NVIDIA Corporation (NASDAQ:NVDA) and Airbnb that were economically tied to emerging markets. Over a period of time, we have been successful in redefining the emerging markets opportunity set around real per capita GDP increases, growth in the middle class, revenue velocity and demand fulfilment. Combined with changes in the market backdrop that have resulted in privileged competitive positions for companies with financial strength and access to capital, we find our opportunity set expanding anew to include companies that are both based in emerging markets and conducive to value creation.”
