At the conclusion of each calendar quarter, institutional investors with stock holdings exceeding $100 million are required to submit a 13F form to the Securities and Exchange Commission (SEC) within 45 days. This filing offers a comprehensive look at the investment decisions of major Wall Street players, disclosing which stocks they have bought or sold in the latest quarter.
Recent 13F filings reveal that a number of billionaire investors have been reducing their positions in the data analytics company Palantir Technologies ( PLTR 0.11%) and shifting more capital into the semiconductor giant Nvidia ( NVDA 0.86%).
Let’s examine which influential investors are making these moves in artificial intelligence (AI) stocks, their possible motivations, and which business might offer a stronger long-term investment.
Which billionaires are reducing their Palantir holdings?
Here’s a summary of some high-profile investors who have scaled back their Palantir investments in recent quarters.
- Citadel, a multi-strategy hedge fund established by billionaire Ken Griffin, sold 639,935 shares of Palantir in the second quarter, cutting its stake by 48%. Notably, Citadel also maintains both put and call options on Palantir, indicating a more nuanced, hedged approach rather than a straightforward exit from the stock.
- Stanley Druckenmiller, a renowned Wall Street figure best known for managing money for George Soros before focusing on his own Duquesne Family Office, held 769,965 Palantir shares at the beginning of 2024. By year’s end, Duquesne had completely divested from Palantir. This move aligns with Duquesne’s history of trading Palantir opportunistically, adjusting its position in response to the stock’s volatility.
- Ray Dalio, the billionaire founder of Bridgewater Associates, has taken a similar path to Duquesne. Throughout 2024, Bridgewater gradually trimmed and rebalanced its Palantir holdings. By the first quarter of 2025, the firm had sold off its remaining shares and, as of now, has not re-entered the position.
Image credit: Getty Images.
Which billionaires are increasing their Nvidia positions after its historic surge?
From OpenAI’s public launch on Nov. 30, 2022, to Nvidia’s latest stock split on June 10, 2024, Nvidia shares skyrocketed by 620%. Nvidia has not only benefited from the AI boom—it has become the benchmark for the entire sector.
NVDA data provided by YCharts.
The rally has continued beyond that point. Since the split, Nvidia’s stock has gained another 55% as of this writing (Oct. 13). While some may think this growth is unsustainable, several prominent billionaires seem to disagree:
- In the second quarter, Coatue Management, led by Philippe Laffont, increased its Nvidia holdings by 34%, acquiring an additional 2,942,694 shares.
- Griffin’s Citadel took an even bolder approach, buying 6,513,348 shares and boosting its position by a remarkable 414%.
Palantir vs. Nvidia: Which AI stock offers more value?
One key reason some billionaires may be shifting away from Palantir and focusing more on Nvidia is valuation.
NVDA PS Ratio chart from YCharts.
As the chart above indicates, Nvidia is currently trading at a price-to-sales (P/S) ratio of 28 and a forward price-to-earnings (P/E) ratio of 42.
Although Nvidia’s market value has reached unprecedented levels, making it the world’s most valuable company, its valuation ratios have actually come down. Both its current P/S and forward P/E are below the highs seen earlier in the AI boom.
Palantir, on the other hand, is experiencing the opposite trend. As shown above, Palantir’s valuation multiples have kept rising, implying that investors are pricing in extremely optimistic growth expectations.
For experienced investors like Laffont and Griffin, these patterns may signal opportunity. They seem to be wagering that ongoing investment in AI infrastructure, along with emerging trillion-dollar markets in robotics, autonomous technology, and even cryptocurrency, are not yet fully reflected in Nvidia’s share price—leaving room for further gains. In my view, these investors are locking in profits and reallocating funds to assets with more attractive valuations.
While I believe Palantir could benefit from the broader AI trend, its current valuation appears stretched and potentially unsustainable. For now, I consider Nvidia the stronger investment choice over Palantir.
