Nvidia’s $80 Billion Gamble: Huang’s Global Roadshow Meets a Bearish Counterpunch
05.06.2026 - 08:24:16 | boerse-global.de
Jensen Huang touched down at Seoul’s Gimpo International Airport at 13:00 local time on Friday, touching off a four-day blitz across South Korea’s industrial giants. Barely a week after courting family offices in Taipei, the Nvidia CEO is again on the offensive — but the euphoria is not universal. On the other side of the trade, Michael Burry has built a short position of more than one million shares, calling a marquee deal “Fugazi.”
The dual narrative of aggressive expansion and mounting skepticism has left Nvidia’s stock hovering roughly 6% below its May all-time high, even as the company unleashes a capital return programme that would make most rivals blush. The board has authorised an $80 billion share buyback, backed by free cash flow of about $106 billion over the past twelve months. The quarterly dividend has been raised to $0.25 a share, a tenfold increase from the prior $0.01 payout. The ex-dividend date fell on Thursday, with the stock closing at €190.38, up 2.80% on the session.
The capital moves come on the heels of blockbuster quarterly results. For the first quarter of fiscal 2027, Nvidia reported revenue of $81.62 billion — an 85% jump from a year earlier — and earnings per share of $1.87.
Director Mark Stevens has been trimming his own position, selling roughly one million shares between June 2 and June 4 at prices ranging from $217.66 to $222.38, for total proceeds of about $221 million. Through the Third Millennium Trust he still holds over six million shares.
Should investors sell immediately? Or is it worth buying Nvidia?
Chips, Robotics and a 550?Billion?Parameter Model
In Seoul, Huang is meeting leadership teams from SK Group, Hyundai, LG, Naver and Samsung, with talks centred on semiconductors, robotics and the next phase of global AI infrastructure. The trip’s centrepiece is “Physical AI” — the integration of artificial intelligence into manufacturing and autonomous systems. Nvidia and Hyundai have jointly committed $3 billion to establish a dedicated AI centre, underscoring South Korea’s strategic role in Nvidia’s supply chain, particularly given the country’s prowess in high?bandwidth memory.
A day before Huang’s arrival, Nvidia unveiled Nemotron 3 Ultra, a large language model built on a mixture?of?experts architecture with 550 billion parameters. It combines Mamba and Transformer approaches, supports context windows of up to one million tokens, and is designed for long?running, complex AI workloads. The company claims it delivers up to five times the inference throughput at 30% lower cost than its predecessor. Amazon SageMaker JumpStart and Bitdeer AI Model Studio already support the model at launch, and its open?weight architecture is meant to lower the barrier for enterprises adopting automated workflows.
Huang’s Taipei Sales Pitch and Burry’s “Fugazi” Jab
At an exclusive gathering in Taipei with more than 300 guests — including representatives from Hillhouse Investment and other influential family offices — Huang dismissed doubts about the long?term profitability of AI, describing returns on capital as “wahnsinnig profitabel” (insanely profitable). He argued that the sector has already generated trillions of dollars in value and urged greater investment in land, energy and financing solutions to sustain infrastructure growth. Demand for the Blackwell chip generation remains unbroken, he said.
Michael Burry sees it differently. The investor famous for betting against the housing market has reportedly built a short position of over one million shares. His main gripe: the quality of certain deals. He branded the $5.4 billion agreement with xAI for GB200 GPUs as “Fugazi” — slang for something fake or not genuine. Critics also point out that three customers account for more than 60% of outstanding receivables, and some of those clients are developing their own chip solutions, which could erode Nvidia’s dominance over time.
Nvidia at a turning point? This analysis reveals what investors need to know now.
Market Position and Stock Dynamics
For now, Nvidia’s grip on the AI accelerator market remains formidable at roughly 86%. The stock has advanced nearly 18% year?to?date, trading about 18% above its 200?day moving average. The relative strength index sits at a neutral 54.8, showing no overbought signals. On Thursday the broader chip landscape was less forgiving — rival Broadcom tumbled double digits after disappointing quarterly numbers.
The €190.38 close still leaves the shares about seven percent below the 52?week high of €202.50 set in mid?May. With a dividend payout scheduled for June 26, 2026, an $80 billion buyback in the works, and a CEO circling the globe to sell the vision, Nvidia is pulling every lever it has. The question is whether the bears or the bulls will ultimately prove right.
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