Nvidia CEO Jensen Huang Cashes In as Stock Runs Hot

Nvidia NVDA CEO Jensen Huang sold about $41 Million of stock this week under a prearranged 10b5-1 plan he filed in March. The program allows sales of up to 6 Milllion shares through year-end, and he moved roughly $50 Million last month as well.

Insider sales can be for many reasons. In this case it looks like he's taking some chips off the table after a 35% YTD run, while Nvidia rides booming AI demand. The company is restarting H20 exports to China even as policy risks linger. Prior export halts were costly, and a 15% revenue-sharing pact on H20 could trim gross margin by roughly 515 points on those sales.

Huang still owns a massive stake. An Aug 11 Form 4 shows a 225,000-share sale for $40.96 Million and control of about 856.37 Million common shares in total, with 73.0 Million held directly and 783.38 Million indirectly. TipRanks flags a Very Negative Insider Confidence Signal on recent informative sells, so it's worth watchingbut not all sells are signals.

The bigger story remains demand outstripping supply, with U.S. hyperscale spending still accelerating. One executive's programmed sale does not change the AI thesis.Keep an eye on additional Form 4s, H20 export approvals and Nvidia's next guide for clues on margins and supply cadence.