Nvidia CEO Jensen Huang Offloads More Shares Amid 211% Year-to-Date Rally In Stock

Nvidia Corp. NVDA has been the best-performing S&P 500 stock this year, having rallied over 211% year-to-date, thanks to its artificial intelligence opportunity. Jensen Huang, who heads the chipmaker in the roles of president and CEO, has sold more shares of the company, Form 4 filings by the company late Wednesday showed.

What Happened: Huang sold 59,376 shares between Sept. 12 and 13, according to two separate Form 4 filings. These shares were acquired by the executive as part of his exercising of the employee stock option award, pursuant to a Rule 10b5-1 trading plan adopted by him on March 29, 2023.

The selling was in different tranches, and the cumulative sales over the two days amounted to $26.90 million.

Incidentally, a week back, Huang sold shares worth $42.83 billion, also through the exercising of stock options.

See Also: How To Buy Nvidia (NVDA) Stock

Why It’s Important: Nvidia stock is running on expectations that the company will be the biggest beneficiary of the AI revolution that is just getting started. The company’s H100 AI chips now power most of the AI applications and software worldwide, and the demand for the chips has continued to climb.

Last month, the company reported stellar quarterly results and issued upbeat guidance as its data center revenue skyrocketed on booming AI chip demand.

Amid these, chatter heard around the Street suggested Nvidia’s strong second-quarter results reflected sales to a small cloud computing company that the chipmaker has funded. Bernstein analyst Stacy Rasgon, however, slammed the accusations and defended Nvidia.

Photo courtesy: Nvidia Corp on Flickr

In premarket trading, Nvidia shares rose 1.19% to $460.27, according to Benzinga Pro data.

Related Link: Nvidia Stock Soars Past $500 After Chipmaker Demolishes Q2 Estimates On AI-Fueled Record Data Center Revenue