Nvidia Corp. NVDA 27.5% The post-earnings recovery saw the stock gain 166.5% year-to-date.and one of the biggest beneficiaries is a secretive, lesser-known US hedge fund.
What happened: Jennison Associates reaped a fluke as his 23 million-share position in Nvidia grew after the chipmaker’s stunning rally. The message was first reported by Business Insider.
Jennison’s 13-F filing shows that the company owned 23.3 million shares of Nvidia valued at $3.4 billion at the end of the fourth quarter of 2022.
Quarterly holdings released for the first quarter showed a slight decrease in holdings to 22.64 million Nvidia shares. Still, the value of the position increased to $6.29 billion.
Since the end of the quarter, shares of Nvidia are up 40%. The same 22.64 million shares would now be worth $8.82 billion. That represents an increase of over $5.42 billion, or 159%, since the end of the fourth quarter.
See also: Best Semiconductor Stocks
Jennison’s stake in Nvidia is about 1%, and the hedge fund is among the company’s top 10 shareholders, according to reports CNN business. According to Business Insider, Nvidia accounted for 5.8% of the investment firm’s $100 billion U.S. stock portfolio at the end of March.
Why it matters: Following Nvidia’s results, the selling firms have scramble to raise price targets on the stock, underscoring their confidence in further upside. Rosenblatt Securities now has a maximum price target of $600 for the stock.
Nvidia’s chips support the most generative AI — a technology that’s garnering a lot of interest.
Nvidia closed Friday’s session at $389.46, up 2.54% Benzinga Pro dates.