Nvidia's Second Quarter Portfolio Overview
Nvidia, a leading name in the technology sector, experienced a mixed performance in its investment portfolio during the second quarter. According to Nvidia's 13F filing, dated this week, the company held stakes in Arm, SoundHound AI, Nano X Imaging, Recursion Pharmaceuticals, and Serve Robotics by the end of June. While most of these stocks saw declines in Q2, the majority have shown significant gains since the start of the year.
Performance of Key Stocks
In Q2, Nvidia maintained its shareholdings in Arm, SoundHound AI, Nano X Imaging, and Recursion Pharmaceuticals and expanded its portfolio by adding Serve Robotics, which debuted on Nasdaq in April. Interestingly, Arm was the only stock in Nvidia's holdings to gain in the second quarter, with a noteworthy 30% increase.
SoundHound AI experienced a substantial decline of 32% in Q2, while Nano X Imaging and Recursion Pharmaceuticals both saw drops of nearly 25%. Serve Robotics shares fell significantly, losing about half their value from their initial IPO price through the end of the quarter.
Year-to-Date Gains and Market Comparison
Despite these Q2 setbacks, the majority of Nvidia's stocks have demonstrated impressive year-to-date gains. For instance, SoundHound AI's shares have more than doubled, keeping pace with Nvidia's own growth trajectory in 2024. Arm surged by 73%, and Nano X Imaging saw a 13% rise from the year's start. Serve Robotics, despite its Q2 decline, nearly tripled its value from its IPO price. The only exception in this upward trend was Recursion Pharmaceuticals, which decreased by roughly 32% over the same period.
Nvidia's Valuable Holdings
Among its portfolio, Nvidia's investment in Arm stands out as its most valuable, with a worth exceeding $320 million as of the end of June. This highlights Nvidia's strategic focus on diversified investments within the tech industry, aiming for long-term growth despite short-term market fluctuations.
Understanding the Terms
- 13F Filing: This is a quarterly report filed by institutional investment managers with the SEC, detailing their holdings in public companies.
- IPO: Initial Public Offering, the process by which a private company offers shares to the public for the first time.
Nvidia's portfolio performance reflects a strategic approach to investment diversification in the tech sector, providing insights into the balance of risk and reward in stock market participation.
