I/O Fund significantly trims Nvidia stock position
Updated
Updated · IO Fund · May 1
I/O Fund significantly trims Nvidia stock position
11 articles · Updated · IO Fund · May 1
The fund cited TrendForce data showing GPU AI servers at 69.7% of 2026 shipments and ASIC servers rising to 27.8%, alongside a reported one-quarter delay to Nvidia's Rubin platform.
It said Nvidia's hardware moat is weakening as AI shifts toward inference, threatening premium pricing and roughly 70% gross margins while technical signals point to a possible bull trap.
The report also warned broader market leadership is narrowing, with semiconductors making new highs without confirmation from Nvidia, the Magnificent 7, financials and industrials, raising correction risks despite a longer-term bullish view.
Could the rise of custom AI ASICs and AMD's aggressive roadmap signal the beginning of the end for Nvidia's dominance after this correction?
With major funds trimming Nvidia and technical divergences mounting, is the semiconductor rally about to unravel—or is this just another buying opportunity?