Nvidia short sellers lose 6500 crores as stock jumps after strong forecast

According to data from analytics firm S3 Partners, investors who had taken short positions on Nvidia incurred mark-to-market losses of $826 million on Thursday. This came as shares of the world’s largest chipmaker experienced a significant surge due to a robust revenue forecast.

Nvidia, a prominent chip designer and a major beneficiary of the AI (artificial intelligence) boom, has proven to be a challenging short bet for investors this year. Analytics firm S3 Partners revealed that these bearish wagers have resulted in cumulative paper losses of $11.36 billion throughout the year, putting Nvidia almost on par with Tesla as one of the least successful short positions.

Ahead of the opening bell, Nvidia’s shares witnessed a notable rise of 7.4% to reach $506.30.