Nvidia (NASDAQ: NVDA) has made headlines by becoming the first company ever to reach a $4 trillion valuation. Amid this achievement, CEO Jensen Huang has been selling off some of his shares in the company.
In the latest transaction, on July 10, Huang sold around 225,000 shares for about $36.4 million, according to filings with the Securities Exchange Commission (SEC).
This sale is part of a trading plan that he established in March, which allows him to sell up to six million shares of Nvidia until the end of 2025.
He initiated this plan on June 18, when he sold shares worth approximately $15 million at an average price of $144.04 each. His latest sale was at a higher average of $161.91.
Huang had also been active in selling shares in 2024, offloading around $700 million worth under a similar trading plan. These plans adhere to SEC guidelines aimed at minimizing the risk of insider trading, enabling trades to occur automatically under specific conditions.
Amid these transactions, Nvidia remains a busy player in the stock market, with over 200 million of its shares traded daily. Therefore, Huang’s sales, typically in batches of approximately 200,000 shares over three days, represent only a small portion of the overall market.
NVDA stock price analysis
As Nvidia solidifies its position in the booming AI chip sector, its stock price has soared to new highs. At the time of writing, NVDA shares were priced at $164.92, up 0.5% on Friday and over 4% for the week.
Notably, after facing some challenges earlier in the year, Nvidia has rebounded significantly, thanks to strong earnings, improved U.S.-China trade relations, and continued enthusiasm around AI.
With the next earnings report scheduled for August 27, investors are expecting to see projected revenue rise to $45.6 billion, up from $30 billion in the same period last year. This upcoming report could either maintain the positive trend or introduce some caution.
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