Nvidia 'Valuation Isn't Exactly Attractive,' Say ESG Fund Managers Despite Big Bets Last Year: '...Portends A Bubble, Potentially'
Portfolio Pulse from Benzinga Neuro
ESG fund managers express concerns over Nvidia's (NASDAQ:NVDA) valuation despite its significant stock surge, leading to a decrease in ESG funds holding Nvidia shares from 20% to 15%. Kristofer Barrett, a fund manager, remains optimistic long-term but cautious about the current valuation, hinting at a potential bubble. Despite these concerns, Nvidia's market value increased by 17% recently, with a nearly 80% rise in 2024. Analysts remain bullish, with none recommending to sell and most advising to buy.
March 07, 2024 | 5:10 am
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Nvidia's stock has surged, leading to concerns among ESG fund managers about its sustainability and potential overvaluation. Despite this, the company's market value has significantly increased, and analysts remain positive.
The concerns from ESG fund managers about Nvidia's valuation and potential bubble could introduce volatility in the short term. However, the overall analyst optimism and recent performance suggest a continued positive trajectory for Nvidia's stock. The reduction in ESG fund holdings reflects caution but is counterbalanced by strong market and analyst confidence.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100