Nvidia's CEO Keeps Selling Shares: Is It a Red Flag?

MotleyFool09-23

NVIDIA Corp stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock ...

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Comments

GRIFFRIFFLORENCE
09-23
GRIFFRIFFLORENCE
The CEO knows the stock is overvalued, so he: SELLS. When your Uber driver, your neighbour and your Starbucks employee is recommending NVIDIA..... You know it's bubble time. It'll rise a whole pile more, but then it will tank, when the whales decide.
kibkibkib
09-23
kibkibkib
A lot of other companies CEOs(Amazon, Apple) also have been selling some stocks this year after their companies stocks have recovered after the big drop in 2021. Analysts love to cherry-pick on reporting. Just that Jensen Huang choose to sell by smaller units instead of a big load.
- VernaFred:
  Nice timing, CEO! [Smart]
- poppy jk:
  All good. They want to try shorting Nvidia again... hope so I need to add positions [Happy]
SamsonChow
09-23
SamsonChow
Nvidia bears go back to sleep! Stop making something out of nothing! 加油Nvidia! Greatest Ai stock ever!

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Out of the 64 analysts who cover the chipmaker, 51 rate its stock ...</p>\n\n<a href=\"https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/\">Source Link</a>\n\n</div>\n","source":"motleyfoolau_stock","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia's CEO Keeps Selling Shares: Is It a Red Flag?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia's CEO Keeps Selling Shares: Is It a Red Flag?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-23 14:38 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/><strong>MotleyFool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>NVIDIA Corp  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock ...</p>\n\n<a href=\"https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":null,"symbol_name":null,"start_time":0,"source_url":"https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/","article_id":"2469824931","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2469824931","pubTimestamp":1727073529,"sourceInfo":{"source_id":"motleyfoolau_stock","name":"MotleyFool"},"weMediaInfo":null,"summary":"$NVIDIA Corp$  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen ","collect":0,"end_time":0,"defaultTopTitle":"fool.com.au","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{},"translate_title":"英伟达CEO不断抛售股票：这是危险信号吗？","themeId":"","isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{},"content_text":"NVIDIA Corp  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen Huang, who liquidated nearly 6 million shares from June 13 through mid-September. Should investors follow Huang's lead, or should they tune out that noise and keep holding the stock?How many shares does Jensen Huang own?As of Sept. 16, Huang still directly held 75.4 million shares of Nvidia. At $116 per share, that personal stake is worth $8.75 billion. However, Huang also indirectly owns another 785.6 million shares of Nvidia across five other trusts and a partnership. Those combined shares account for the lion's share of his net worth of over $100 billion.In other words, Huang's liquidation of 6 million shares -- worth about $700 million today -- represents a tiny percentage of his total stake in Nvidia. 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The rapid expansion of the artificial intelligence (AI) market is driving more companies to buy more of its data center GPUs to process complex machine learning and AI tasks, and that feverish demand continues to outstrip its available supply.In the first half of fiscal 2025, Nvidia generated a whopping 87% of its revenue from its data center chips -- compared to 78% of its revenue in fiscal 2024 and just 39% of its revenue in fiscal 2022. That rapid expansion turned Nvidia into an all-in AI play and significantly reduced the importance of its PC gaming GPU business.If you believe Nvidia will continue to sell the best picks and shovels for the AI gold rush, then its stock could have plenty of room to run. From fiscal 2024 to 2027, analysts expect its revenue to continue expanding at a compound annual growth rate (CAGR) of 50% as its EPS increases at a CAGR of 56%. At 41 times this year's earnings, Nvidia's stock still looks reasonably valued relative to those explosive growth rates.But Nvidia could struggle to match those expectations as it faces more competitive, regulatory, and macro headwinds.  Advanced Micro Devices  is gradually gaining a foothold in the data center market with its cheaper GPUs, and many tech giants are developing their own AI chips to gradually curb their dependence on Nvidia. U.S. regulators could further tighten their export restrictions to completely block its remaining chip sales to China, while an unexpected recession could cause many of its top customers to rein in their AI spending. Those challenges could throttle Nvidia's growth and end its historic rally.Ignore the noise and focus on the factsJensen Huang's stock sales are attracting a lot of attention from the bears, but it's just a lot of sound and fury that signifies nothing. So instead of following his lead, investors should weigh the pros and cons to see if it's still worth buying. I think Nvidia's stock could head even higher over the next few years as the AI market expands, but investors should temper their expectations, stay patient, and recognize its potential long-term challenges.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"Shareholding Changes","news_rank":0,"symbols":[],"gpt_button":0},"commentList":[{"id":352491062661352,"gmtCreate":1727076155072,"gmtModify":1727076320644,"author":{"id":"4187630308610572","authorId":"4187630308610572","authorIdStr":"4187630308610572","name":"GRIFFRIFFLORENCE","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","vip":1,"crmLevel":1,"crmLevelSwitch":0,"idStr":"4187630308610572"},"htmlText":"The CEO knows the stock is overvalued, so he: SELLS. When your Uber driver, your neighbour and your Starbucks employee is recommending NVIDIA..... You know it's bubble time. It'll rise a whole pile more, but then it will tank, when the whales decide.","listText":"The CEO knows the stock is overvalued, so he: SELLS. When your Uber driver, your neighbour and your Starbucks employee is recommending NVIDIA..... You know it's bubble time. It'll rise a whole pile more, but then it will tank, when the whales decide.","text":"The CEO knows the stock is overvalued, so he: SELLS. When your Uber driver, your neighbour and your Starbucks employee is recommending NVIDIA..... You know it's bubble time. It'll rise a whole pile more, but then it will tank, when the whales decide.","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":0,"repostSize":1,"link":"https://ttm.financial/post/352491062661352","repostId":2469824931,"repostType":4,"repost":{"id":"2469824931","pubTimestamp":1727073529,"share":"https://ttm.financial/m/news/2469824931?lang=&edition=fundamental","pubTime":"2024-09-23 14:38","market":"us","language":"en","title":"Nvidia's CEO Keeps Selling Shares: Is It a Red Flag?","url":"https://stock-news.laohu8.com/highlight/detail?id=2469824931","media":"MotleyFool","summary":"$NVIDIA Corp$  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen ","content":"<p> <a href=\"https://laohu8.com/S/NVDA\">NVIDIA Corp</a>  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.</p><p>But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen Huang, who liquidated nearly 6 million shares from June 13 through mid-September. Should investors follow Huang's lead, or should they tune out that noise and keep holding the stock?</p><h2 id=\"id_1600012892\">How many shares does Jensen Huang own?</h2><p>As of Sept. 16, Huang still directly held 75.4 million shares of Nvidia. At $116 per share, that personal stake is worth $8.75 billion. However, Huang also indirectly owns another 785.6 million shares of Nvidia across five other trusts and a partnership. Those combined shares account for the lion's share of his net worth of over $100 billion.</p><p>In other words, Huang's liquidation of 6 million shares -- worth about $700 million today -- represents a tiny percentage of his total stake in Nvidia. All of Huang's recent sales were also made through a trading plan, which he adopted on March 14 to automatically execute stock trades whenever certain market conditions are met.</p><p>Those exact trading conditions aren't publicly known, but they're usually based on technical factors like a stock's price and trading volume. Those automated plans are designed to prevent insiders from placing trades with nonpublic information.</p><p>Huang also receives most of his salary as stock awards. Some $26.68 million of his $34.17 million in compensation in fiscal 2024 (which ended this January) was paid out in Nvidia's shares instead of cash. So Huang might simply be selling some of those shares to raise more cash -- and those sales don't necessarily mean Nvidia's stock is overvalued.</p><h2 id=\"id_1353955339\">What should investors focus on instead?</h2><p>Jensen Huang is clearly invested in Nvidia's future, and the chipmaker still has a bright future. The rapid expansion of the artificial intelligence (AI) market is driving more companies to buy more of its data center GPUs to process complex machine learning and AI tasks, and that feverish demand continues to outstrip its available supply.</p><p>In the first half of fiscal 2025, Nvidia generated a whopping 87% of its revenue from its data center chips -- compared to 78% of its revenue in fiscal 2024 and just 39% of its revenue in fiscal 2022. That rapid expansion turned Nvidia into an all-in AI play and significantly reduced the importance of its PC gaming GPU business.</p><p>If you believe Nvidia will continue to sell the best picks and shovels for the AI gold rush, then its stock could have plenty of room to run. From fiscal 2024 to 2027, analysts expect its revenue to continue expanding at a compound annual growth rate (CAGR) of 50% as its EPS increases at a CAGR of 56%. At 41 times this year's earnings, Nvidia's stock still looks reasonably valued relative to those explosive growth rates.</p><p>But Nvidia could struggle to match those expectations as it faces more competitive, regulatory, and macro headwinds.  <a href=\"https://laohu8.com/S/AMD\">Advanced Micro Devices</a>  is gradually gaining a foothold in the data center market with its cheaper GPUs, and many tech giants are developing their own AI chips to gradually curb their dependence on Nvidia. U.S. regulators could further tighten their export restrictions to completely block its remaining chip sales to China, while an unexpected recession could cause many of its top customers to rein in their AI spending. Those challenges could throttle Nvidia's growth and end its historic rally.</p><h2 id=\"id_1009328743\">Ignore the noise and focus on the facts</h2><p>Jensen Huang's stock sales are attracting a lot of attention from the bears, but it's just a lot of sound and fury that signifies nothing. So instead of following his lead, investors should weigh the pros and cons to see if it's still worth buying. I think Nvidia's stock could head even higher over the next few years as the AI market expands, but investors should temper their expectations, stay patient, and recognize its potential long-term challenges.</p>","source":"motleyfoolau_stock","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia's CEO Keeps Selling Shares: Is It a Red Flag?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia's CEO Keeps Selling Shares: Is It a Red Flag?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-23 14:38 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/><strong>MotleyFool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>NVIDIA Corp  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock ...</p>\n\n<a href=\"https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2469824931","content_text":"NVIDIA Corp  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen Huang, who liquidated nearly 6 million shares from June 13 through mid-September. Should investors follow Huang's lead, or should they tune out that noise and keep holding the stock?How many shares does Jensen Huang own?As of Sept. 16, Huang still directly held 75.4 million shares of Nvidia. At $116 per share, that personal stake is worth $8.75 billion. However, Huang also indirectly owns another 785.6 million shares of Nvidia across five other trusts and a partnership. Those combined shares account for the lion's share of his net worth of over $100 billion.In other words, Huang's liquidation of 6 million shares -- worth about $700 million today -- represents a tiny percentage of his total stake in Nvidia. All of Huang's recent sales were also made through a trading plan, which he adopted on March 14 to automatically execute stock trades whenever certain market conditions are met.Those exact trading conditions aren't publicly known, but they're usually based on technical factors like a stock's price and trading volume. Those automated plans are designed to prevent insiders from placing trades with nonpublic information.Huang also receives most of his salary as stock awards. Some $26.68 million of his $34.17 million in compensation in fiscal 2024 (which ended this January) was paid out in Nvidia's shares instead of cash. So Huang might simply be selling some of those shares to raise more cash -- and those sales don't necessarily mean Nvidia's stock is overvalued.What should investors focus on instead?Jensen Huang is clearly invested in Nvidia's future, and the chipmaker still has a bright future. The rapid expansion of the artificial intelligence (AI) market is driving more companies to buy more of its data center GPUs to process complex machine learning and AI tasks, and that feverish demand continues to outstrip its available supply.In the first half of fiscal 2025, Nvidia generated a whopping 87% of its revenue from its data center chips -- compared to 78% of its revenue in fiscal 2024 and just 39% of its revenue in fiscal 2022. That rapid expansion turned Nvidia into an all-in AI play and significantly reduced the importance of its PC gaming GPU business.If you believe Nvidia will continue to sell the best picks and shovels for the AI gold rush, then its stock could have plenty of room to run. From fiscal 2024 to 2027, analysts expect its revenue to continue expanding at a compound annual growth rate (CAGR) of 50% as its EPS increases at a CAGR of 56%. At 41 times this year's earnings, Nvidia's stock still looks reasonably valued relative to those explosive growth rates.But Nvidia could struggle to match those expectations as it faces more competitive, regulatory, and macro headwinds.  Advanced Micro Devices  is gradually gaining a foothold in the data center market with its cheaper GPUs, and many tech giants are developing their own AI chips to gradually curb their dependence on Nvidia. U.S. regulators could further tighten their export restrictions to completely block its remaining chip sales to China, while an unexpected recession could cause many of its top customers to rein in their AI spending. Those challenges could throttle Nvidia's growth and end its historic rally.Ignore the noise and focus on the factsJensen Huang's stock sales are attracting a lot of attention from the bears, but it's just a lot of sound and fury that signifies nothing. So instead of following his lead, investors should weigh the pros and cons to see if it's still worth buying. I think Nvidia's stock could head even higher over the next few years as the AI market expands, but investors should temper their expectations, stay patient, and recognize its potential long-term challenges.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":352488326148104,"gmtCreate":1727075506292,"gmtModify":1727178102353,"author":{"id":"4097035389999120","authorId":"4097035389999120","authorIdStr":"4097035389999120","name":"kibkibkib","avatar":"https://static.tigerbbs.com/d8a7aa26d3fe477a8cce6bc245028fff","vip":1,"hat":"https://static.tigerbbs.com/4c5ceab71416b120bab4604c0754b52a","crmLevel":5,"crmLevelSwitch":0,"idStr":"4097035389999120"},"htmlText":"A lot of other companies CEOs(Amazon, Apple) also have been selling some stocks this year after their companies stocks have recovered after the big drop in 2021. Analysts love to cherry-pick on reporting. Just that Jensen Huang choose to sell by smaller units instead of a big load.","listText":"A lot of other companies CEOs(Amazon, Apple) also have been selling some stocks this year after their companies stocks have recovered after the big drop in 2021. Analysts love to cherry-pick on reporting. Just that Jensen Huang choose to sell by smaller units instead of a big load.","text":"A lot of other companies CEOs(Amazon, Apple) also have been selling some stocks this year after their companies stocks have recovered after the big drop in 2021. Analysts love to cherry-pick on reporting. Just that Jensen Huang choose to sell by smaller units instead of a big load.","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":58,"commentSize":2,"repostSize":2,"link":"https://ttm.financial/post/352488326148104","repostId":2469824931,"repostType":2,"repost":{"id":"2469824931","pubTimestamp":1727073529,"share":"https://ttm.financial/m/news/2469824931?lang=&edition=fundamental","pubTime":"2024-09-23 14:38","market":"us","language":"en","title":"Nvidia's CEO Keeps Selling Shares: Is It a Red Flag?","url":"https://stock-news.laohu8.com/highlight/detail?id=2469824931","media":"MotleyFool","summary":"$NVIDIA Corp$  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen ","content":"<p> <a href=\"https://laohu8.com/S/NVDA\">NVIDIA Corp</a>  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.</p><p>But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen Huang, who liquidated nearly 6 million shares from June 13 through mid-September. Should investors follow Huang's lead, or should they tune out that noise and keep holding the stock?</p><h2 id=\"id_1600012892\">How many shares does Jensen Huang own?</h2><p>As of Sept. 16, Huang still directly held 75.4 million shares of Nvidia. At $116 per share, that personal stake is worth $8.75 billion. However, Huang also indirectly owns another 785.6 million shares of Nvidia across five other trusts and a partnership. Those combined shares account for the lion's share of his net worth of over $100 billion.</p><p>In other words, Huang's liquidation of 6 million shares -- worth about $700 million today -- represents a tiny percentage of his total stake in Nvidia. All of Huang's recent sales were also made through a trading plan, which he adopted on March 14 to automatically execute stock trades whenever certain market conditions are met.</p><p>Those exact trading conditions aren't publicly known, but they're usually based on technical factors like a stock's price and trading volume. Those automated plans are designed to prevent insiders from placing trades with nonpublic information.</p><p>Huang also receives most of his salary as stock awards. Some $26.68 million of his $34.17 million in compensation in fiscal 2024 (which ended this January) was paid out in Nvidia's shares instead of cash. So Huang might simply be selling some of those shares to raise more cash -- and those sales don't necessarily mean Nvidia's stock is overvalued.</p><h2 id=\"id_1353955339\">What should investors focus on instead?</h2><p>Jensen Huang is clearly invested in Nvidia's future, and the chipmaker still has a bright future. The rapid expansion of the artificial intelligence (AI) market is driving more companies to buy more of its data center GPUs to process complex machine learning and AI tasks, and that feverish demand continues to outstrip its available supply.</p><p>In the first half of fiscal 2025, Nvidia generated a whopping 87% of its revenue from its data center chips -- compared to 78% of its revenue in fiscal 2024 and just 39% of its revenue in fiscal 2022. That rapid expansion turned Nvidia into an all-in AI play and significantly reduced the importance of its PC gaming GPU business.</p><p>If you believe Nvidia will continue to sell the best picks and shovels for the AI gold rush, then its stock could have plenty of room to run. From fiscal 2024 to 2027, analysts expect its revenue to continue expanding at a compound annual growth rate (CAGR) of 50% as its EPS increases at a CAGR of 56%. At 41 times this year's earnings, Nvidia's stock still looks reasonably valued relative to those explosive growth rates.</p><p>But Nvidia could struggle to match those expectations as it faces more competitive, regulatory, and macro headwinds.  <a href=\"https://laohu8.com/S/AMD\">Advanced Micro Devices</a>  is gradually gaining a foothold in the data center market with its cheaper GPUs, and many tech giants are developing their own AI chips to gradually curb their dependence on Nvidia. U.S. regulators could further tighten their export restrictions to completely block its remaining chip sales to China, while an unexpected recession could cause many of its top customers to rein in their AI spending. Those challenges could throttle Nvidia's growth and end its historic rally.</p><h2 id=\"id_1009328743\">Ignore the noise and focus on the facts</h2><p>Jensen Huang's stock sales are attracting a lot of attention from the bears, but it's just a lot of sound and fury that signifies nothing. So instead of following his lead, investors should weigh the pros and cons to see if it's still worth buying. I think Nvidia's stock could head even higher over the next few years as the AI market expands, but investors should temper their expectations, stay patient, and recognize its potential long-term challenges.</p>","source":"motleyfoolau_stock","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia's CEO Keeps Selling Shares: Is It a Red Flag?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia's CEO Keeps Selling Shares: Is It a Red Flag?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-23 14:38 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/><strong>MotleyFool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>NVIDIA Corp  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock ...</p>\n\n<a href=\"https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2469824931","content_text":"NVIDIA Corp  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen Huang, who liquidated nearly 6 million shares from June 13 through mid-September. Should investors follow Huang's lead, or should they tune out that noise and keep holding the stock?How many shares does Jensen Huang own?As of Sept. 16, Huang still directly held 75.4 million shares of Nvidia. At $116 per share, that personal stake is worth $8.75 billion. However, Huang also indirectly owns another 785.6 million shares of Nvidia across five other trusts and a partnership. Those combined shares account for the lion's share of his net worth of over $100 billion.In other words, Huang's liquidation of 6 million shares -- worth about $700 million today -- represents a tiny percentage of his total stake in Nvidia. All of Huang's recent sales were also made through a trading plan, which he adopted on March 14 to automatically execute stock trades whenever certain market conditions are met.Those exact trading conditions aren't publicly known, but they're usually based on technical factors like a stock's price and trading volume. Those automated plans are designed to prevent insiders from placing trades with nonpublic information.Huang also receives most of his salary as stock awards. Some $26.68 million of his $34.17 million in compensation in fiscal 2024 (which ended this January) was paid out in Nvidia's shares instead of cash. So Huang might simply be selling some of those shares to raise more cash -- and those sales don't necessarily mean Nvidia's stock is overvalued.What should investors focus on instead?Jensen Huang is clearly invested in Nvidia's future, and the chipmaker still has a bright future. The rapid expansion of the artificial intelligence (AI) market is driving more companies to buy more of its data center GPUs to process complex machine learning and AI tasks, and that feverish demand continues to outstrip its available supply.In the first half of fiscal 2025, Nvidia generated a whopping 87% of its revenue from its data center chips -- compared to 78% of its revenue in fiscal 2024 and just 39% of its revenue in fiscal 2022. That rapid expansion turned Nvidia into an all-in AI play and significantly reduced the importance of its PC gaming GPU business.If you believe Nvidia will continue to sell the best picks and shovels for the AI gold rush, then its stock could have plenty of room to run. From fiscal 2024 to 2027, analysts expect its revenue to continue expanding at a compound annual growth rate (CAGR) of 50% as its EPS increases at a CAGR of 56%. At 41 times this year's earnings, Nvidia's stock still looks reasonably valued relative to those explosive growth rates.But Nvidia could struggle to match those expectations as it faces more competitive, regulatory, and macro headwinds.  Advanced Micro Devices  is gradually gaining a foothold in the data center market with its cheaper GPUs, and many tech giants are developing their own AI chips to gradually curb their dependence on Nvidia. U.S. regulators could further tighten their export restrictions to completely block its remaining chip sales to China, while an unexpected recession could cause many of its top customers to rein in their AI spending. Those challenges could throttle Nvidia's growth and end its historic rally.Ignore the noise and focus on the factsJensen Huang's stock sales are attracting a lot of attention from the bears, but it's just a lot of sound and fury that signifies nothing. So instead of following his lead, investors should weigh the pros and cons to see if it's still worth buying. I think Nvidia's stock could head even higher over the next few years as the AI market expands, but investors should temper their expectations, stay patient, and recognize its potential long-term challenges.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":352949874835672,"gmtCreate":1727178591041,"gmtModify":1727246143662,"authorId":9000000000000365,"author":{"id":9000000000000365,"authorId":9000000000000365,"name":"VernaFred","avatar":"https://static.tigerbbs.com/ce0d6ccfbbe005480a89ffef05402430","vip":8,"crmLevel":1,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":352488326148104,"type":1,"supId":0,"prevId":0,"content":"Nice timing, CEO! [Smart]","text":"Nice timing, CEO! [Smart]","html":"Nice timing, CEO! [Smart]"},{"id":352503895286008,"gmtCreate":1727079289960,"gmtModify":1727079294896,"authorId":4180940356587852,"author":{"id":4180940356587852,"authorId":4180940356587852,"name":"poppy jk","avatar":"https://community-static.tradeup.com/news/45eecc4226d34f37482583fe30071700","vip":1,"crmLevel":1,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":352488326148104,"type":1,"supId":0,"prevId":0,"content":"All good. They want to try shorting Nvidia again... hope so I need to add positions  [Happy]","text":"All good. They want to try shorting Nvidia again... hope so I need to add positions  [Happy]","html":"All good. They want to try shorting Nvidia again... hope so I need to add positions  [Happy]"}],"langContent":"EN"},{"id":352487830855952,"gmtCreate":1727075386530,"gmtModify":1727075391702,"author":{"id":"4166752395028592","authorId":"4166752395028592","authorIdStr":"4166752395028592","name":"SamsonChow","avatar":"https://community-static.tradeup.com/news/5b3db5185eda55dc9e03331477d70e90","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"4166752395028592"},"htmlText":"Nvidia bears go back to sleep! &nbsp;Stop making something out of nothing! &nbsp;加油Nvidia! &nbsp;Greatest Ai stock ever!","listText":"Nvidia bears go back to sleep! &nbsp;Stop making something out of nothing! &nbsp;加油Nvidia! &nbsp;Greatest Ai stock ever!","text":"Nvidia bears go back to sleep! Stop making something out of nothing! 加油Nvidia! Greatest Ai stock ever!","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/352487830855952","repostId":2469824931,"repostType":2,"repost":{"id":"2469824931","pubTimestamp":1727073529,"share":"https://ttm.financial/m/news/2469824931?lang=&edition=fundamental","pubTime":"2024-09-23 14:38","market":"us","language":"en","title":"Nvidia's CEO Keeps Selling Shares: Is It a Red Flag?","url":"https://stock-news.laohu8.com/highlight/detail?id=2469824931","media":"MotleyFool","summary":"$NVIDIA Corp$  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen ","content":"<p> <a href=\"https://laohu8.com/S/NVDA\">NVIDIA Corp</a>  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.</p><p>But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen Huang, who liquidated nearly 6 million shares from June 13 through mid-September. Should investors follow Huang's lead, or should they tune out that noise and keep holding the stock?</p><h2 id=\"id_1600012892\">How many shares does Jensen Huang own?</h2><p>As of Sept. 16, Huang still directly held 75.4 million shares of Nvidia. At $116 per share, that personal stake is worth $8.75 billion. However, Huang also indirectly owns another 785.6 million shares of Nvidia across five other trusts and a partnership. Those combined shares account for the lion's share of his net worth of over $100 billion.</p><p>In other words, Huang's liquidation of 6 million shares -- worth about $700 million today -- represents a tiny percentage of his total stake in Nvidia. All of Huang's recent sales were also made through a trading plan, which he adopted on March 14 to automatically execute stock trades whenever certain market conditions are met.</p><p>Those exact trading conditions aren't publicly known, but they're usually based on technical factors like a stock's price and trading volume. Those automated plans are designed to prevent insiders from placing trades with nonpublic information.</p><p>Huang also receives most of his salary as stock awards. Some $26.68 million of his $34.17 million in compensation in fiscal 2024 (which ended this January) was paid out in Nvidia's shares instead of cash. So Huang might simply be selling some of those shares to raise more cash -- and those sales don't necessarily mean Nvidia's stock is overvalued.</p><h2 id=\"id_1353955339\">What should investors focus on instead?</h2><p>Jensen Huang is clearly invested in Nvidia's future, and the chipmaker still has a bright future. The rapid expansion of the artificial intelligence (AI) market is driving more companies to buy more of its data center GPUs to process complex machine learning and AI tasks, and that feverish demand continues to outstrip its available supply.</p><p>In the first half of fiscal 2025, Nvidia generated a whopping 87% of its revenue from its data center chips -- compared to 78% of its revenue in fiscal 2024 and just 39% of its revenue in fiscal 2022. That rapid expansion turned Nvidia into an all-in AI play and significantly reduced the importance of its PC gaming GPU business.</p><p>If you believe Nvidia will continue to sell the best picks and shovels for the AI gold rush, then its stock could have plenty of room to run. From fiscal 2024 to 2027, analysts expect its revenue to continue expanding at a compound annual growth rate (CAGR) of 50% as its EPS increases at a CAGR of 56%. At 41 times this year's earnings, Nvidia's stock still looks reasonably valued relative to those explosive growth rates.</p><p>But Nvidia could struggle to match those expectations as it faces more competitive, regulatory, and macro headwinds.  <a href=\"https://laohu8.com/S/AMD\">Advanced Micro Devices</a>  is gradually gaining a foothold in the data center market with its cheaper GPUs, and many tech giants are developing their own AI chips to gradually curb their dependence on Nvidia. U.S. regulators could further tighten their export restrictions to completely block its remaining chip sales to China, while an unexpected recession could cause many of its top customers to rein in their AI spending. Those challenges could throttle Nvidia's growth and end its historic rally.</p><h2 id=\"id_1009328743\">Ignore the noise and focus on the facts</h2><p>Jensen Huang's stock sales are attracting a lot of attention from the bears, but it's just a lot of sound and fury that signifies nothing. So instead of following his lead, investors should weigh the pros and cons to see if it's still worth buying. I think Nvidia's stock could head even higher over the next few years as the AI market expands, but investors should temper their expectations, stay patient, and recognize its potential long-term challenges.</p>","source":"motleyfoolau_stock","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia's CEO Keeps Selling Shares: Is It a Red Flag?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia's CEO Keeps Selling Shares: Is It a Red Flag?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-23 14:38 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/><strong>MotleyFool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>NVIDIA Corp  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock ...</p>\n\n<a href=\"https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.fool.com.au/2024/09/23/nvidias-ceo-keeps-selling-shares-is-it-a-red-flag-usfeed/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2469824931","content_text":"NVIDIA Corp  stock has already soared 2,420% over the past five years, but Wall Street is still overwhelmingly bullish on its future. Out of the 64 analysts who cover the chipmaker, 51 rate its stock as a buy, nine rate it as overweight, and four rate it as a hold. Not a single analyst has given it a dreaded underweight or sell rating.But over the past 12 months, Nvidia's insiders actually sold more than 10 times as many shares as they bought. One of those major sellers was its own CEO Jensen Huang, who liquidated nearly 6 million shares from June 13 through mid-September. Should investors follow Huang's lead, or should they tune out that noise and keep holding the stock?How many shares does Jensen Huang own?As of Sept. 16, Huang still directly held 75.4 million shares of Nvidia. At $116 per share, that personal stake is worth $8.75 billion. However, Huang also indirectly owns another 785.6 million shares of Nvidia across five other trusts and a partnership. Those combined shares account for the lion's share of his net worth of over $100 billion.In other words, Huang's liquidation of 6 million shares -- worth about $700 million today -- represents a tiny percentage of his total stake in Nvidia. All of Huang's recent sales were also made through a trading plan, which he adopted on March 14 to automatically execute stock trades whenever certain market conditions are met.Those exact trading conditions aren't publicly known, but they're usually based on technical factors like a stock's price and trading volume. Those automated plans are designed to prevent insiders from placing trades with nonpublic information.Huang also receives most of his salary as stock awards. Some $26.68 million of his $34.17 million in compensation in fiscal 2024 (which ended this January) was paid out in Nvidia's shares instead of cash. So Huang might simply be selling some of those shares to raise more cash -- and those sales don't necessarily mean Nvidia's stock is overvalued.What should investors focus on instead?Jensen Huang is clearly invested in Nvidia's future, and the chipmaker still has a bright future. The rapid expansion of the artificial intelligence (AI) market is driving more companies to buy more of its data center GPUs to process complex machine learning and AI tasks, and that feverish demand continues to outstrip its available supply.In the first half of fiscal 2025, Nvidia generated a whopping 87% of its revenue from its data center chips -- compared to 78% of its revenue in fiscal 2024 and just 39% of its revenue in fiscal 2022. That rapid expansion turned Nvidia into an all-in AI play and significantly reduced the importance of its PC gaming GPU business.If you believe Nvidia will continue to sell the best picks and shovels for the AI gold rush, then its stock could have plenty of room to run. From fiscal 2024 to 2027, analysts expect its revenue to continue expanding at a compound annual growth rate (CAGR) of 50% as its EPS increases at a CAGR of 56%. At 41 times this year's earnings, Nvidia's stock still looks reasonably valued relative to those explosive growth rates.But Nvidia could struggle to match those expectations as it faces more competitive, regulatory, and macro headwinds.  Advanced Micro Devices  is gradually gaining a foothold in the data center market with its cheaper GPUs, and many tech giants are developing their own AI chips to gradually curb their dependence on Nvidia. U.S. regulators could further tighten their export restrictions to completely block its remaining chip sales to China, while an unexpected recession could cause many of its top customers to rein in their AI spending. Those challenges could throttle Nvidia's growth and end its historic rally.Ignore the noise and focus on the factsJensen Huang's stock sales are attracting a lot of attention from the bears, but it's just a lot of sound and fury that signifies nothing. So instead of following his lead, investors should weigh the pros and cons to see if it's still worth buying. I think Nvidia's stock could head even higher over the next few years as the AI market expands, but investors should temper their expectations, stay patient, and recognize its potential long-term challenges.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"CN"}],"isCommentEnd":false,"newsSizeData":{"likeSize":12,"commentSize":3,"repostSize":3,"favoriteSize":1,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.28.1","shortVersion":"4.28.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2469824931"}