Nvidia’s stock surged 4% on Tuesday, driven by news that CEO Jensen Huang has completed his planned share sales, netting a staggering $713 million in proceeds. Despite the significant sale, Huang remains the company’s largest shareholder, holding a substantial stake in the tech giant.
According to a report by Barron’s, Huang reached the maximum threshold of 6 million shares allowed under a prearranged trading plan, known as a 10b5-1, which enables company insiders to trade stocks in a predetermined manner. This plan was adopted in March, and Huang has now fulfilled his obligations.
As of September 18th, Huang holds over 75 million shares of Nvidia common stock, in addition to another 785 million shares held through various trusts and partnerships, according to an SEC filing. The company’s stock has seen a remarkable 150% increase year-to-date, solidifying its position as a Wall Street favorite.
Nvidia’s success can be attributed to its semiconductor hardware becoming a crucial component of the artificial intelligence boom. The company’s top customers include tech giants such as Microsoft, Meta, Alphabet, and Amazon, further underscoring its importance in the industry.
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