Top 5 Stocks in Lee Ainslie’s Portfolio

In this article, we discuss the top 5 stocks in Lee Ainslie’s portfolio. If you want to know more about Lee Ainslie, check out Lee Ainslie Washington Commanders and Other Investments.

5. NVIDIA Corp (NASDAQ:NVDA)

Number of Hedge Fund Holders: 132
Maverick Capital % Portfolio:  3.25%

NVIDIA Corp (NASDAQ:NVDA) has been a bright spot in the overall stock market amid its improved long-term prospects with the artificial intelligence revolution. The stock has more than tripled in value after a 230% rally making Nvidia a trillion-dollar company. The impressive run comes on strong demand for the company’s graphics processing Units GPU at the center of the AI revolution.

Likewise, Ainslie has benefited from the impressive rally as the stock accounts for about 3.25% of Maverick Capital’s portfolio. Susquehanna maintained a Positive rating on NVIDIA Corp (NASDAQ:NVDA) and hiked the stock’s target price from $450 to $575 on July 20.

According to Insider Monkey’s first quarter database, 132 hedge funds were bullish on NVIDIA Corp (NASDAQ:NVDA), compared to 106 funds in the prior quarter. Rajiv Jain’s GQG Partners is a prominent stakeholder of the company, with 8.25 million shares worth $2.29 billion.

In the investor letter for the second quarter of 2023, Artisan Partners provided its assessment of NVIDIA Corporation (NASDAQ:NVDA):

“Top contributors to performance for the quarter included graphics semiconductor company NVIDIA Corporation (NASDAQ:NVDA). Nvidia rose after reporting strong results and forecasting significantly higher data center revenues for the coming quarter, driven by rising artificial intelligence investments around the world.

When we are successful in achieving disproportionate equity outcomes, we need a process for managing them. Entering this year, we had a ~6.5% position in Nvidia. Due to the enthusiasm for generative AI and a rapid conclusion to “cloud optimization,” the stock has surged 189.5% this year including 52.31% in Q2. We retained an investment in Nvidia with less capital at risk, an approach which afforded us the potential to prudently participate in excellent investments over long periods of time. Notably, despite our gradual position reductions, Nvidia has contributed 1491bps to performance since inception. In turn, these value pathways form the foundation upon which our risk management framework rests, and put us in position to execute our investment program in future periods of duress.”