NVIDIA Corp (NASDAQ:NVDA) shares are shooting higher Tuesday. The stock appears to be moving on reports that CEO Jensen Huang has finished selling company stock under a trading plan.
What To Know: Huang adopted a Rule 10b5-1 trading plan earlier this year. According to a Barron's report, the Nvidia CEO has completed selling the maximum number of shares under the plan several months early.
The trading plan was slated to be effective through March 2025, but the report indicates that Huang sold all six million shares six months before the planned expiration.
Huang reportedly sold shares from June 14 through Sept. 13 at prices ranging from $91.72 to $140.24, grossing approximately $713 million from the sales. The stock sales came from a personal account that still has about 75.4 million Nvidia shares remaining. The Nvidia CEO also reportedly owns 786 million shares through trusts and partnerships. Huang is Nvidia's largest shareholder with a 3.8% stake in the company as of March.
The stock sales come with Nvidia shares up more than 140% year-to-date after more than tripling last year, driven by the company's positioning in the artificial intelligence (AI) space.
Nvidia reported revenue growth of 122% year-over-year in its most recent quarter and guided for continued growth on the back of strong demand for AI.
"NVIDIA achieved record revenues as global data centers are in full throttle to modernize the entire computing stack with accelerated computing and generative AI," Huang said. "Generative AI will revolutionize every industry."
NVDA Price Action: Nvidia shares opened Tuesday higher before moving lower in early trading. The stock reversed course shortly after the Barron's article came out and is now up 4.14% for the day, trading around $121.07 at the time of publication, per Benzinga Pro.
Photo: Shutterstock.
