E Fund Management Trims NVIDIA Stake Amid Mixed Market Sentiment
E Fund Management Co. Ltd. reduced its stake in NVIDIA Corporation (NASDAQ:NVDA) by 12.8% during the second quarter, selling 172,315 shares. The firm now holds 1,173,459 shares, which account for 5.3% of its total holdings, making NVIDIA its fourth-largest holding. The value of E Fund Management's NVIDIA shares was $234,797,000 as of its most recent SEC filing. Other institutional investors also adjusted their positions, with firms like Lifetime Wealth Management P.C., Longview Financial Advisors Inc., and Langley Wealth Management LLC acquiring new stakes in the company.
NVIDIA has been in the spotlight for several reasons. Morgan Stanley named it its top semiconductor pick, maintaining an Overweight rating and setting a $300 price target. The firm highlighted NVIDIA's software ecosystem, scale, and positioning in AI infrastructure as key strengths. Additionally, NVIDIA announced a $150 billion buyback authorization, lifting its total remaining repurchase capacity to approximately $235 billion, a move seen as a sign of management confidence.
Analysts continue to raise expectations for hyperscaler spending, with Barclays estimating NVIDIA could generate $401 billion in hyperscaler revenue by 2027. However, there are also concerns. Reports suggest Amazon may move $8 billion of NVIDIA chips off its balance sheet through leasing or financing structures, adding scrutiny around AI infrastructure financing. Export-control concerns also persist after prosecutors alleged a California man helped smuggle approximately $300 million of NVIDIA chips to China.
Insider activity has been notable, with Director Mark A. Stevens selling 622,239 shares for $144,122,997.18 and EVP Timothy S. Teter selling 30,460 shares for $6,786,488. In the last three months, insiders have sold 1,766,118 shares worth $399,450,353. Wall Street analysts have largely maintained a positive outlook, with a consensus rating of 'Buy' and a price target of $320.71.