Written by Cláudio Afonso | LinkedIn | X
Renaissance Technologies, the second-largest hedge fund globally and founded by renowned investor Jim Simons, disclosed in its latest quarterly report that it cut its stakes in Tesla and Nvidia while raising its position in Nio.
RenTech acquired 12,494,700 shares of the Shanghai-headquartered EV maker during the quarter, valued at $83.46 million as of September 30, 2024. As of the end of June, the quantitative fund held just 258,700 shares, a position valued at $1.68 million. By the end of September, the current value of the stake rose to $56.1 million.
RenTech previously exited its Nio position completely in Q1 2021, after a peak ownership of 17,768,900 shares in June 2020, valued at about $386 million. Since then, its stake has fluctuated, with large reductions in Q4 2022 (-28.6%) and Q4 2023 (-59.3%), before fully exiting the stock a year ago.
| Quarter | Shares Held | Comments |
| Q2 202o | 9,300,100 | Initial Investment |
| Q2 2022 | 17,768,900 | Peak Ownership |
| Q3 2023 | 4,199,394 | -59% |
| Q4 2023 | 0 | Exited Position |
| Q2 2024 | 258,700 | Re-opened Position |
| Q3 2024 | 12,494,700 | Latest Update |
The fund slashed its Tesla holdings by 86%, reducing its position from 2.1 million shares to 284,000. The value of its Tesla stake dropped from $406 million to $74 million, even as the automaker’s shares climbed 26% during the period. Tesla, once RenTech’s 10th-largest holding at the end of June, has now fallen out of the fund’s top 200 positions.
Nvidia saw a similar decline in RenTech’s portfolio. The fund halved its stake in the chipmaker giant, reducing its holdings to about 3.5 million shares. The position’s value decreased from $867 million to $428 million. The company led by Jensen Huang fell from being RenTech’s third-largest holding to its tenth-largest.
As recently reported, Geode Capital Management has nearly exited its position in Nio during the third quarter, four and a half years after first investing in the company.
According to its latest quarterly filing, the asset manager reduced its stake in the EV maker by 94.07% in the third quarter of this year.
Nio shares have lost 50.50% of their value year to date. After reaching a new 4-year low at $3.61 in April, the stock more than doubled to $7.71 in late September on China’s fiscal stimulus. However, the company’s shares have been giving up part of those gains and closed at $4.58 on Tuesday.
In October, Nio Group delivered a total of 20,976 electric vehicles including 4,319 units of its sub-brand Onvo and 16,657 vehicles of the Nio brand.
Nio will release its third-quarter earnings next week, on November 20, with a conference call scheduled for 7:00 a.m. Eastern Time.
Written by Cláudio Afonso | LinkedIn | X
The post Jim Simons Founded Hedge Fund Buys 12M Nio Shares in Q3, Sells Tesla and Nvidia first appeared on EV.