NVIDIA CEO leads the way in selling! Sets personal selling record in July
NVIDIA CEO Jensen Huang set a personal record in July by selling stocks worth a total of $322.7 million. Combined with his stock sales in June, he has sold nearly $500 million worth of stocks. This selling action happened right before the overall tech stock sell-off, causing NVIDIA's stock price to drop by 14% at that time. Global stock markets also declined due to adverse U.S. economic data and corporate earnings reports. Huang's net worth decreased by $5.9 billion, but by the end of July, NVIDIA's stock price rebounded, nearly increasing Huang's wealth by $12 billion
Just before the broader tech stock sell-off, NVIDIA's co-founder and CEO Jensen Huang continued his summer selling spree, selling NVIDIA shares worth $322.7 million in July, setting a personal record.
Combined with his sales in June, he has now sold nearly $500 million in shares since NVIDIA's stock peaked in the AI-driven rally.
While the June and July sales were executed under a 10b5-1 trading plan set in March, the timing proved fortunate. NVIDIA's stock has dropped 14% over the past three trading days, including a 6.4% decline on Monday when the Nasdaq 100 index hit its lowest point since May.
With investors facing a series of disappointing U.S. economic data, corporate earnings, and unfavorable seasonal trends, global stock markets have plummeted. The S&P 500 index fell by 3%, the largest single-day drop in nearly two years, while indicators for "Big Seven" giants like NVIDIA and Apple plunged by nearly 10%.
According to the Bloomberg Billionaires Index, the world's 500 richest people lost $184.9 billion in wealth, with tech titans losing $75.6 billion.
After briefly surpassing $100 billion last month, Jensen Huang's net worth decreased by $5.9 billion, dropping to 16th place on the wealth rankings with a net worth of $88.4 billion.
A spokesperson for NVIDIA declined to comment on this.
Jensen Huang sells 120,000 shares of NVIDIA every day, and according to Bloomberg's data compilation, NVIDIA's stock accounted for 4 of the 8 largest market cap declines in July alone.
NVIDIA regained momentum at the end of July after competitor Advanced Micro Devices Inc. released optimistic revenue forecasts, reigniting investor enthusiasm for the industry. NVIDIA added a record $329 billion in market value on July 31, nearly increasing Jensen Huang's wealth by $12 billion.
61-year-old Jensen Huang was not the only insider selling NVIDIA shares in July. Board member Mark Stevens sold approximately $125 million in NVIDIA shares, while the company's Global Operations Executive Vice President Jay Puri sold around $10 million in NVIDIA shares.
NVIDIA insiders have cashed out over $1 billion since the beginning of this year. Since the beginning of 2020, Jensen Huang has personally sold approximately $1.4 billion in NVIDIA shares. According to a document, he plans to continue selling NVIDIA shares in August.