Well-timed decisions to increase bets on chipmaker Nvidia towards the end of last year positioned a number of big-name hedge funds, including Arrowstreet Capital and Bridgewater Associates, to generate big gains as the company's stock continued to soar in the opening weeks of 2024, according to a report by the Financial Times.
With Nvidia's stock increasing by 48% so far this year, having already tripled in price during 2023, the report cites regulatory filings as revealing that Boston-based Arrowstreet was potentially positioned to make a $1bn profit, having built a $2.1bn position in the chipmaker with the acquisition of an additional 4m shares in Q4 2023.
Meanwhile, Bridgewater Associates, which upped its holding in the stock four-fold in Q4 to more than 220,000 shares, stood to earn a potential $65m profit YTD in 2024.
Other hedge funds to have benefited from Nvidia's continuing rise include Chris Rokos’s Rokos Capital Management, which acquired more than 250,000 shares in Nvidia in Q4 2023, leaving it with a potential profit of more than $60m, while Renaissance Technologies was positioned to earn a $375m gain after upping its Nvidia holding to more than 1.5m shares with the acquisition of an additional 300,000 shares in Q4.
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