Goldman Sachs Semiconductor Stocks: Top 5 Picks

2. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders: 84

Goldman Sachs’ Stake Value: $2,175,273,000

NVIDIA Corporation (NASDAQ:NVDA) is a California-based company that provides graphics, computing, and networking solutions in the United States, Taiwan, China, and internationally. NVIDIA Corporation (NASDAQ:NVDA) is one of the most notable Goldman Sachs semiconductor stocks to watch. The firm owns 14.3 million shares of NVIDIA worth $2.17 billion as of Q2 2022, representing 0.49% of the total securities. 

On November 8, nNVIDIA Corporation (NASDAQ:NVDA) announced that it has launched a new chip in China that complies with recently introduced U.S. export rules to prevent access to innovative tech. The A800 chip is the first processor of its kind from a U.S. semiconductor maker that adheres to the new trade rules.

Needham analyst Rajvindra Gill on October 25 reiterated a Buy rating on NVIDIA Corporation (NASDAQ:NVDA) but lowered the price target on the shares to $155 from $170 as part of a broader research note on Semiconductors and Semiconductor Equipment.

According to Insider Monkey’s data, 84 hedge funds were bullish on NVIDIA Corporation (NASDAQ:NVDA) at the end of June 2022, compared to 102 funds in the last quarter. Phill Gross and Robert Atchinson’s Adage Capital Management is a prominent position holder in the company, with 2.5 million shares worth about $386 million. 

Vulcan Value Partners made the following comment about NVIDIA Corporation (NASDAQ:NVDA) in its Q3 2022 investor letter:

“We also sold NVIDIA Corporation (NASDAQ:NVDA) during the quarter to allocate capital to new purchases and to add to existing positions in the portfolio. NVIDIA is facing multiple headwinds. Data center revenue growth is slowing, gaming revenue growth is declining, and the United States has issued new export controls to China that impact NVDIA’s products. We believe NVDIA’s competitive advantages are intact, and it remains on our MVP list. In the right circumstances we would be delighted to own it in the future.”