Sundheim's D1 hedge fund shook up its tech exposure, including selling the hottest stock right now

Published Wed, Feb 14 202411:43 AM EST

Daniel Sundheim's D1 Capital made a handful of notable changes to its technology holdings in the fourth quarter, including closing out a position in a key artificial intelligence play. As technology stocks led the market higher into the end of 2023, the billionaire sold his entire holding valued at a bit more than $60 million in Nvidia , according to a new regulatory filling. It came near the finish line of a banner year for the chipmaker, with shares soaring more than 230% as interest in AI boomed. Nvidia has gone on to jump another 46% this year so far. We won't know if Sundheim stayed on the sidelines until the first quarter filings are released. NVDA 1Y mountain Nvidia, 1-year It wasn't his only cut to mega-cap technology holdings. Sundheim also zeroed out his stake in software stock Salesforce , while trimming Microsoft and Facebook parent Meta by more than 60% and 20%, respectively. But even with the move, Meta is still the third largest holding in the portfolio. Those changes came as investors wondered what lied ahead for technology names following 2023's rebound. The role of large-cap tech stocks in driving up the market was so apparent that a group was dubbed the "Magnificent 7" for its outsized gains. Despite those broad concerns, Sundheim put money into other marquee technology names. Specifically, the Viking Global alum increased positions in Amazon and Google parent Alphabet by more than 30% each in the quarter. Outside of big tech, Sundheim added to Mastercard and Philip Morris stakes. He also reported a $42-million stake in WWE and UFC parent TKO Group , the stock that resulted from a merger between two live sport titans last year. Elsewhere, Sundheim started positions in Lexeo Therapeutics and Live Nation . On the flip side, he dissolved stakes in a number of well-known stocks including Hilton , Las Vegas Sands , Liberty Media and Yum Brands . Rivian , Visa , Insulet , General Electric and Block were among those he pulled money out of in the quarter.