Short Sellers Lose $2.2B In Nvidia Rally
The Nvidia Corporation logo is shown on a phone screen in this picture. It's just an illustration though. The picture was taken by Rafael Henrique for SOPA Images. The NVIDIA Corporation is a technology company. They develop computer hardware, software, and other tech products.
People who invested against Nvidia lost $2.2 billion on Thursday. This information comes from S3 Partners, a company that deals with financial data.
The company's stock went up a lot because it had good predictions for the future that were better than what Wall Street thought.
According to S3 Partners, Nvidia is the biggest loss-maker so far this year.
People who gambled against Nvidia's success lost lots of money in just one day because the company announced it would do better than what experts thought.
People who bet against Nvidia's stock lost $2.2 billion in just one day when the stock price went up by over 24%. This data comes from S3 Partners.
This year, people who bet against the company lost $8 billion because the company's shares doubled in price. The company is based in Santa Clara, California and makes semiconductors. It is the most loss-making short company this year. Tesla is in second place with $5.8 billion and Apple is in third place with $5 billion. This information is from S3.
Nvidia is number four on the America's most-shorted stock list. Apple, Tesla, and Microsoft are leading. Short sellers are betting more than $9 billion on Nvidia's share price going down. Bloomberg reported this information.
Short sellers are closing their positions even though it's costing them money. They decreased the number of Nvidia shares they shorted by almost 11% in the last month. So far in 2023, it's gone down by about 23%. This information comes from Bloomberg.
Goldman Sachs analyst, Toshiya Hari, says Generative AI is on the rise. The bank increased its price target to $440, ignoring threats from Nvidia's competitors.
JPMorgan thinks the stock is worth $500. They used to think it was worth less. They also think more people will want to buy AI tech.
Business Insider has an article you should read.
