Nvidia (NVDA 6.18%) isn’t just a leader in developing the key hardware fueling the artificial intelligence (AI) boom.
It’s a big investor in other AI companies, often including an equity investment in its business relationships.
In December, its portfolio of AI stocks surpassed the $100 million threshold, requiring it to file form 13-F with the SEC disclosing all of its holdings.
Nvidia’s portfolio isn’t very broad, containing just five stocks, and 97% of the portfolio is concentrated in just two holdings.
The biggest piece of Nvidia’s portfolio is ARM Holdings, the chip architecture company the AI giant tried to purchase for $40 billion in 2020.
It ended up grabbing a stake worth $190 million at its current price, representing just a small slice of the $100 billion company.
Nvidia’s second-largest holding represents a much more meaningful stake in an innovative AI company.
This company has also found favor with Cathie Wood‘s Ark Invest, which bought more shares earlier this month, adding to its position as the company’s largest shareholder.
Importantly, investors can still invest in the stock near the same level Nvidia did last July. It’s no wonder Wood and her team have been snapping up shares recently.
Nvidia’s second-largest holding is a 3.4% stake in Recursion Pharmaceuticals (RXRX 3.57%). The company is using AI to mine data and discover new potential drugs.
And if it successfully develops a breakthrough medicine, it could easily turn into Nvidia’s biggest investment.
