Staff Reporter
Philippe Laffont, the billionaire head of Coatue Management, is making a major shift in his investment strategy.
He has sold off a significant portion of Coatue’s stake in Nvidia, the leading player in AI-driven data centers, while diving into a newly public AI stock that’s generating considerable buzz on Wall Street.
While Warren Buffett of Berkshire Hathaway is often in the spotlight, Laffont, who manages $22.7 billion in assets, has also made a name for himself with impressive returns. He’s particularly drawn to high-growth technology stocks.
According to Coatue’s first-quarter filings, Laffont has continued to reduce his holdings in Nvidia, which peaked at nearly 50 million shares in March 2023. Over the past two years, he has sold about 83% of this stake, including a sale of 1.46 million shares in the first quarter of 2025 alone.
Nvidia has excelled with its Hopper and Blackwell GPUs, dominating the enterprise AI market and achieving impressive profit margins. However, rising competition from both external rivals and clients developing their own chips poses risks to Nvidia’s future.
The growing threat of an AI bubble is another concern. With over 90% of Nvidia’s revenue coming from its data center segment, a downturn could significantly affect its stock.
Laffont’s New Focus: CoreWeave
Despite selling many tech stocks, Laffont has made a bold move into CoreWeave (CRWV), a newly public AI data center infrastructure firm. In just two days after its IPO on March 28, he acquired over 14 million shares, making it one of Coatue’s top holdings.
CoreWeave is well-positioned to meet the soaring demand for AI resources, having purchased 250,000 Hopper chips from Nvidia.
However, the company is also facing challenges, including accelerating net losses and high debt from financing its GPU purchases.
Additionally, Nvidia’s rapid innovation cycle could render CoreWeave’s existing technology outdated, impacting its pricing power. As the AI landscape evolves, the risk of reduced spending on AI infrastructure remains a pressing concern.
Laffont’s strategic shift highlights the dynamic nature of the tech investment landscape, as he navigates the opportunities and challenges presented by AI advancements.
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