Nvidia Hands an $824 Million Windfall to Semiconductor Shorts
Photographer: Andrew Harrer/Bloomberg
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A semiconductor sell-off sparked by a dismal sales forecast from Nvidia Corp. resulted in a windfall for short sellers.
Investors betting against chip stocks had reaped $824 million in mark-to-market profits as of Friday afternoon, according to financial analytics firm S3 Partners. The majority came from short positions in Nvidia, whose 19 percent loss was its worst in 10 years. Competitor Advanced Micro Devices Inc. fell 3.9 percent.