Billionaire Jeff Yass Sold 73% of Susquehanna's Stake in Nvidia and Is Piling Into This Beloved Artificial Intelligence (AI) Stock Instead

Earnings season is officially kicking into high gear. Over the span of roughly six weeks, a majority of America's most-important publicly traded companies will spill the beans to Wall Street and investors regarding their operating performance over the prior quarter.

While corporate profit growth is vital to the success of a historically pricey stock market, earnings season isn't the only important data release investors would be wise to monitor.

August 14 marked the filing deadline for institutional investors with at least $100 million in assets under management (AUM) to file Form 13F with the Securities and Exchange Commission. This filing provides investors with a snapshot of what Wall Street's brightest and most-successful asset managers bought and sold in the latest quarter (in this instance, the second quarter).

Admittedly, 13Fs have a drawback -- they're filed up to 45 calendar days following the end to a quarter, which means they're likely providing stale information for active hedge funds. Yet in spite of this flaw, they can still offer invaluable clues as to which stocks, industries, sectors, and trends Wall Street's leading money managers are intrigued by.

Aside from Berkshire Hathaway's extraordinary CEO Warren Buffett, one of the most closely followed billionaire money managers is Susquehanna International Group's co-founder and managing director, Jeff Yass.

Susquehanna ended June with $537 billion in AUM and thousands of holdings, including various put and call options. However, the actions that stand out most in the June-ended quarter, based on Susquehanna's 13F, is what Yass and his team did within the artificial intelligence (AI) arena.

Arguably no public company has been more responsible for lifting Wall Street's major stock indexes to new highs, or fueling the AI revolution, than Nvidia (NASDAQ: NVDA). Since the end of 2022, Nvidia's market cap has catapulted from $360 billion to $3.39 trillion, as of the closing bell on Oct. 18.

Despite Nvidia's graphics processing units (GPUs) being the undisputed top choice by businesses overseeing generative AI solutions and training large language models, not all billionaire money managers are optimistic about its future.

During the second quarter, Yass's fund jettisoned 52,497,275 shares of Nvidia's stock, which reduced its stake by 73% from the March-ended quarter. Keep in mind that Nvidia completed a historic 10-for-1 forward stock split following the close of trading on June 7, and the above share count has been adjusted for this split.