NVIDIA Corporation (NASDAQ: NVDA) is off to an overwhelmingly strong start to the trading session this morning, and for good reason. It seems as though SoftBank has been quietly purchasing a large stake in the company over a period of time. Of course, this led to excitement among investors, causing gains in the stock and prompting an alert from our partners at Trade Ideas. At the moment (9:19), NVDA is trading at $141.00 per share after a gain of $3.97 per share (2.90%) thus far today.
SoftBank Quietly Acquires A Large Stake In NVDA
As mentioned above, NVIDIA Corporation is off to a pretty strong start to the trading session today after news broke that SoftBank recently acquired a large stake in the company. According to various sources, SoftBank Group has quietly amassed a $4 billion stake in NVDA. As a result, SoftBank is the company’s fourth largest shareholder.
This proved to be an interesting stake acquisition. If SoftBank did indeed acquire $4 billion in NVDA shares, it would mean that it now owns a 4.9% stake in the company, slightly below the portion of the company in which a SEC filing would be required.
While there seems to be no verification of the acquisition through filings, it does make sense. The founder of SoftBank has a particular interest in tech. In fact, he plans on becoming the largest investor in technology over the next decade, banking on emerging trends including but not limited to artificial intelligence.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on NVDA. In particular, we’re interested in learning more about the large stake purchase by SoftBank, a company who many believe is set to make a large tech acquisition ahead. We’ll continue to follow the story closely and bring the news to you as it breaks!
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