Long-Time Nvidia Investor Trims Holdings as AI Rally Overheats
- Global CIO Melman says overweight on Nvidia is now far smaller
- Notes AI-fueled rally has made stock valuations too expensive
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One of Nvidia Corp.’s long-term investors is trimming bets on the stock, saying the frenzy around artificial intelligence has pushed valuations too far.
Edmond de Rothschild Asset Management’s overweight on Nvidia, a position held since at least the end of 2020, is now “far smaller,” according to global chief investment officer Benjamin Melman. The money manager took some profits in the recent rally that briefly sent the company’s market cap above $1 trillion last week.