Peter Thiel's fund joins SoftBank in offloading Nvidia shares

Peter Thiel's hedge fund has completely divested its position in Nvidia during the third quarter, as revealed by a recent 13F filing. Thiel Macro LLC sold off its entire 537,742 shares in the renowned chipmaker, which were valued at approximately $85 million at the close of the second quarter. By September 30, those shares would have been worth around $100 million, though the exact timing of the fund's sale remains unclear. This move follows closely behind SoftBank's announcement that it too had sold all its Nvidia shares within the same quarter. Although Thiel's holdings were modest in contrast to Nvidia's staggering $4.6 trillion market capitalization and the $5.8 billion stake sold by SoftBank, the sales highlight growing concerns among investors and tech leaders about a possible AI bubble. Nvidia has surged to prominence as the leading provider of advanced chips that fuel AI technologies, recently becoming the first company to surpass a $5 trillion valuation last month. In its earnings call last week, SoftBank clarified that its decision to sell was not a reflection on Nvidia’s performance but rather a strategy to redirect funds toward OpenAI. As Nvidia prepares to announce its third-quarter earnings on Wednesday, industry analysts are watching closely. Dan Ives, a Wedbush analyst known for his optimistic outlook on the AI market, expressed confidence that Nvidia will significantly outperform market expectations. The filing also indicated that Thiel's fund continues to hold significant stakes in major companies such as Apple, Tesla, and Microsoft, with those shares collectively valued at over $74 million at the end of September.