{"id":129199,"title":"SoftBank Shares Tumble After $5.8bn Sale of Entire Nvidia Stake","publisher":"Share Talk","author":"sharetalk","published":"2025-11-12T09:56:53+00:00","modified":"2025-11-12T09:56:53+00:00","canonical_url":"https://www.share-talk.com/softbank-shares-tumble-after-5-8bn-sale-of-entire-nvidia-stake/","markdown_url":"https://www.share-talk.com/softbank-shares-tumble-after-5-8bn-sale-of-entire-nvidia-stake.md","json_url":"https://www.share-talk.com/softbank-shares-tumble-after-5-8bn-sale-of-entire-nvidia-stake.json","category":"B2B","categories":["B2B","Blogs","Technology","Technology, Media & Telecoms"],"tags":["Amazon","ARTIFICIAL INTELLIGENCE","Bitcoin","BTC","Bubble","chatGPT","chipmaker","FRANCE","GERMANY","Japan","Michael Burry","Nvidia","OpenAI","Palantir","short positions","SoftBank Group","The Big Short"],"featured_image":"https://i0.wp.com/www.share-talk.com/wp-content/uploads/2025/09/Nvidia-19-SEP.webp?fit=1200%2C800&quality=80&ssl=1","format":"news","language":"en-GB","content":"Shares in **SoftBank Group** plunged on Wednesday after the Japanese investment giant revealed it had **sold its entire stake in Nvidia** for **$5.8bn (£4.4bn)**, sparking investor unease over its shifting exposure to the artificial intelligence (AI) sector.\n\nThe stock **fell as much as 10.1% in early trading** before paring losses to close **down 3.5%**, wiping roughly **¥1 trillion (£5.4bn)** from its market value. At one point, as much as **¥3.2 trillion (£15.7bn)** had been erased.\n\nThe sale, completed in **October**, delivered a major profit for SoftBank but rattled investors who view the company as a **bellwether for the global AI boom**. Nvidia, the $4.7 trillion (£3.6 trillion) chipmaking powerhouse whose processors underpin much of the industry, saw its own shares **drop 3% on Wall Street**, erasing about **$188.3bn (£143.3bn)** in market value.\n\nSoftBank shares had **soared nearly 150% this year**, buoyed by enthusiasm for AI-related investments. But concerns have been mounting that valuations across the sector are **becoming overstretched**.\n\nThe caution echoes warnings from **Michael Burry**, the “Big Short” investor who famously predicted the 2008 financial crisis and has recently [placed bets against several major AI stocks](https://www.share-talk.com/big-short-investor-sparks-global-sell-off-as-ai-bubble-fears-grow/), including Nvidia.\n\nSoftBank executives **played down fears** that the sale signalled a loss of confidence in AI, saying the move was driven by **funding needs** for new ventures. The company plans to assemble a **war chest of around $30bn** to back projects including an investment in **ChatGPT creator OpenAI**."}