Weekly Market Update - 12 August 2024

Raising Rupees

Billionaire Gautam Adani’s flagship firm is considering raising around 100 billion rupees ($1.2 billion) to 120 billion rupees through a share sale, according to people familiar with the matter, a move that would follow a separate recent fundraising deal at his power transmission unit. Adani Enterprises Ltd. may seek to raise funds through a so-called qualified institutional placement, the people said, asking not to be identified because the matter is private. The port-to-power conglomerate is working with banks on a share sale that could take place as early as September, the people said.

Source: Bloomberg

Summer Selling

Nvidia’s Jensen Huang continued his summer of selling, offloading a record $322.7 million worth of shares in July just ahead of a wider tech stock selloff. Combined with the shares he unloaded in June, the chipmaker’s co-founder and chief executive officer has sold almost $500 million worth since the stock hit its peak amid an AI-fueled rally. While the June and July sales were executed under a 10b5-1 trading plan adopted in March, the timing proved fortunate. Nvidia shares have tumbled 14% over last three trading days, including 6.4% on Monday as the Nasdaq 100 Index fell to its lowest level since May.

Source: Bloomberg

Unloading Apple

Berkshire Hathaway slashed its stake in Apple by almost 50% as part of a massive second-quarter selling spree that sent billionaire Warren Buffett’s cash pile to a record $276.9 billion. Its stake in the iPhone maker now stands at roughly $84 billion, down from about $140 billion at the end of March. Since 2016, when Warren Buffett first disclosed its stake in Apple, its shares have soared almost 900%. Many on Wall Street are urging investors to look past the news and stay calm.

Source: Bloomberg