NextFin News - In a strategic portfolio adjustment, Bogart Wealth LLC reduced its position in NVIDIA Corporation (NASDAQ:NVDA) by 15.6% during the third quarter, according to a recent filing with the Securities and Exchange Commission. The institutional investor liquidated 28,886 shares, leaving it with a remaining stake of 155,984 shares. As of the most recent reporting period, these holdings were valued at approximately $29.1 million. Despite the sale, NVIDIA remains a significant component of the Bogart portfolio, representing roughly 1.2% of its total assets and ranking as its 18th largest holding.
According to MarketBeat, this move by Bogart comes amid a flurry of institutional activity surrounding the semiconductor giant. While Bogart trimmed its exposure, other major players have shown continued confidence. State Street Corp increased its massive stake by 1.0% to over 978 million shares, while Geode Capital Management LLC and Charles Schwab Investment Management Inc. also boosted their positions by 1.5% and 2.8%, respectively. Currently, institutional investors and hedge funds maintain a dominant 65.27% ownership of NVIDIA’s outstanding shares, providing a stable floor for the stock’s valuation even as individual firms engage in profit-taking.
The divestment by Bogart occurs against a backdrop of robust financial performance for NVIDIA. In its most recent quarterly earnings report released on November 19, the company posted earnings per share (EPS) of $1.30, surpassing the consensus estimate of $1.23. Revenue for the quarter surged 62.5% year-over-year to $57.01 billion, driven by insatiable demand for data center GPUs. However, internal sentiment appears more cautious; Chief Financial Officer Colette Kress sold 27,640 shares on January 13 at an average price of $184.92, and Executive Vice President Debora Shoquist offloaded 69,840 shares in December. In total, company insiders have sold over 1.6 million shares worth approximately $293 million in the last 90 days.
From an analytical perspective, the sale by Bogart likely reflects tactical rebalancing rather than a fundamental loss of faith in the AI narrative. With NVIDIA’s stock price hovering near $192.51—well above its 200-day moving average of $182.27—wealth managers are increasingly locking in gains to manage risk. The company’s current price-to-earnings (P/E) ratio of 47.77 and a forward P/E near 41x suggest a rich valuation that leaves little room for execution errors. This is particularly relevant as U.S. President Trump’s administration continues to navigate complex trade relations with China. Recent reports that NVIDIA chips were utilized by China’s DeepSeek to refine models for military use have heightened regulatory risks, potentially inviting stricter export controls that could impact future revenue streams.
Furthermore, the competitive landscape is shifting. While Microsoft has publicly committed to continuing its purchase of NVIDIA chips, the aggressive development of in-house AI silicon by Amazon and Google poses a long-term threat to NVIDIA’s "share of wallet" among hyperscalers. To counter this, NVIDIA is deepening its ecosystem through strategic investments. The company is reportedly in talks to join a $60 billion funding round for OpenAI alongside Microsoft and Amazon. Additionally, a $2 billion investment in CoreWeave ensures that NVIDIA’s hardware remains the backbone of the next generation of "AI factories."
Looking ahead, the market’s focus will shift to the February 25 earnings call, where guidance on the H200 chip’s licensing in China and the ramp-up of the Blackwell architecture will be critical. Analysts remain overwhelmingly bullish, with 51 out of 53 tracked by MarketBeat maintaining "Buy" or "Strong Buy" ratings and a consensus price target of $263.41. While smaller institutional sales like those from Bogart may create short-term noise, NVIDIA’s 99.24% return on equity and its central role in the global AI infrastructure suggest that the company’s market leadership remains intact for the 2026 fiscal year.
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