Druckenmiller Sees Potential in AMD Over Nvidia

Billionaire investor Stanley Druckenmiller has shown no interest in re-entering Nvidia (NVDA) despite its declining valuation. In fact, he even expressed regret for selling his Nvidia shares last year.

The billionaire, who runs the Duquesne Family Office with $5.2 billion under management, has been vocal about his love-hate relationship with Nvidia. Druckenmiller initially built up a significant stake in the company's AI chip business but sold all his shares in 2024 after considering the valuation too rich.

However, Druckenmiller did open a new position in an Nvidia rival, Advanced Micro Devices (AMD), in the second quarter. He bought 72,900 shares of AMD, giving it a 0.8% weight in his portfolio. The move is significant as AMD has seen its stock soar more than 100% this year.

Druckenmiller's decision to invest in AMD may be driven by the company's growth potential in the AI space. AMD has increased its AI offerings in recent years and has seen significant growth, with a doubling of data center revenue in the last quarter.