Thanks to her general prominence – largely due to her role as the former Speaker – and her stock investments, investments many consider just a little bit too successful, Nancy Pelosi has become the poster child for suspicious congressional trades.
After staying mostly quiet through the first half of 2024, the Representative filed a string of major sales and purchases on July 3.
Pelosi has reported selling up to $1.5 million of Visa (NYSE: V) and Tesla (NASDAQ: TSLA) shares and buying up to $10 million worth. of Nvidia (NASDAQ: NVDA) and Broadcom (NASDAQ: AVGO) shares and options.
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Nancy Pelosi buys more Nvidia shares
The Nvidia purchase is particularly noteworthy as the Representative has a long and storied history with the stock thanks to a wildly successful options trade she undertook lake in 2023.
Already in early 2024, Nancy Pelosi was reported as having made more than her entirely annual congressional salary with the NVDA investment thanks to the semiconductor giant’s stellar stock market performance.
If the blue-chip chipmaker performs half as well in the second half of the year as it did in the first, the congresswoman’s 10,000 new NVDA shares will make her some $1 million – more than five times her annual salary.
The Broadcom call options, with their strike price of $800, also carry a major potential upside given the Street consensus that AVGO stock will rise at least another 11% in the coming 12 months.
Nancy Pelosi’s stock sales
Simultaneously, Pelosi’s Tesla sales appear uncharacteristically ill-timed. It is likely that TSLA stock sold on June 24, 2024, belongs to the contingent purchased in March 2024.
Given that the EV marker’s stock price fell from about $340 to $182, the former Speaker lost approximately $160 per share. In total, the loss amounts to approximately $400,000.
Nonetheless, the trade is made to appear only worse by the fact that TSLA’s recent delivery report helped the firm rocket to $240 by July 3 – almost a $60 change from the day of the sale for a total difference of $150,000.
The sale of Visa shares, on the other hand, has been decisively profitable given that V price today stands at approximately $270, and Nancy Pelosi was reported as making the purchase as far back as 2011 when the stock was below $30.
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