Nvidia (NVDA +1.31%) is widely considered the ultimate pick-and-shovel play in the artificial intelligence (AI) space. The company's graphics processing units (GPUs) have become the standard for training the large language models (LLMs) that make AI possible. And so far, Nvidia seems to hold somewhat of a monopoly, considering its sky-high margins.
With its market leadership, Nvidia and its CEO, Jensen Huang, have also used the company's capital to invest in other AI-related stocks that they either partner with or that may help grow and expand the sector. As of April 27, 2025 (the end of fiscal 2026's first quarter), Nvidia owned six stocks. Here's the best of the bunch.
Image source: Getty Images.
What Nvidia owns
Nvidia's total portfolio of six stocks amounted to roughly $1.14 billion. Here are the six holdings:
CoreWeave (CRWV +1.27%): CoreWeave went public at the end of March, and while the initial public offering (IPO) disappointed, the stock has been a moonshot ever since and is now up 286% (as of July 8) in just a few short months. As the AI sector picks up steam, many companies will want to build AI applications and offer AI solutions. But building all the infrastructure could be a heavy lift, and this is where CoreWeave comes in.
The company offers software and cloud services that companies can use to develop and manage LLMs. CoreWeave's clients already include AI giants like Microsoft and Nvidia. Nvidia's position totaled nearly $897 million at the end of the first quarter and was by far the company's largest stock holding.
NASDAQ: CRWV
Key Data Points
Arm Holdings (ARM 1.17%): Arm is another company that has done well since its IPO in 2023 and is now up 146%, with a market cap of close to $158 billion. Arm builds intellectual property solutions needed for computer processing units (CPUs), GPUs, and neural processing units (NPUs). Nvidia uses Arm's intellectual property (IP) in many of its products and actually tried to buy the company in 2020. The acquisition ultimately fell apart, but Nvidia participated in the company's IPO. Nvidia's $117.6 million stake is the second-largest in its portfolio.
Applied Digital Corp (APLD 2.10%): Applied Digital offers products and services similar to the companies mentioned above. The company builds digital infrastructure solutions and offers cloud services, specifically aimed at high-performance computing (HPC) and AI solutions.
The company's three operating segments include crypto data center hosting, cloud services, and data center hosting for HPC. Applied Digital is also launching GPU clusters in data centers, which customers can essentially rent to build AI applications on. Nvidia is one of Applied Digital's major suppliers. Nvidia held a $43.4 million position in the company.
NASDAQ: APLD
Key Data Points
Recursion Pharmaceuticals (RXRX +5.93%): Recursion Pharmaceuticals is taking AI into the biotech and pharmaceutical space. The platform has built out one of the most extensive wet labs in the world, where robots and sensors help conduct millions of experiments each week. The company is also building a huge data set that machine learning algorithms can parse to find patterns that enable more effective drug discovery.
Recursion has collaborated with Nvidia and uses Nvidia-powered solutions. Nvidia's stake in the company amounted to about $40.7 million at the end of the first quarter.
Nebius Group (NBIS +2.98%): Nebius is similar to CoreWeave in that it's building cloud solutions, specifically for AI. Customers can essentially rent the company's infrastructure to build and run AI applications, rather than building their own.
According to Kevin Xu of Interconnected Capital, CoreWeave focuses on deploying the latest GPU clusters as fast as possible and signing customers up for multi-year leases. Nebius builds software on top of Nvidia GPUs, making the platform potentially easier for customers to use. Nvidia owns about $25 million worth of Nebius shares.
NASDAQ: NBIS
Key Data Points
WeRide (WRD +2.47%): Nvidia's smallest position ($23.6 million) is in the autonomous car company WeRide, which is working to commercialize self-driving vehicles. Not only is WeRide backed by Nvidia, but the company also uses Nvidia GPUs and AI software in its vehicles. Nvidia is also working on autonomous driving technology.
The best of the bunch
Nebius is currently the best stock that Nvidia owns. The company flew under the radar earlier this year because it was listed on the Nasdaq Stock Exchange just recently (in October) after a nearly three-year hiatus. The Russian tech giant Yandex, which was delisted due to sanctions after Russia invaded Ukraine, formerly owned Nebius' assets.
The assets were ultimately split off from Yandex to form Nebius, which is now based in Amsterdam and has operations in the U.S. Following its listing on the Nasdaq, Nvidia and a group of large venture capital (VC) firms invested $700 million in a private placement. Nebius would later go on to raise an additional $1 billion in financing through senior secured notes.
At a roughly $11.4 billion market cap, the stock is much cheaper than CoreWeave. Management is also guiding for annual revenue in the mid-single-digit billions range at high margins over the medium term.
I also think that Nebius' more user-friendly approach with its AI solutions could be a positive development down the line, particularly for companies that are not as sophisticated in AI and are beginning to deploy AI solutions. Nebius also currently has a more diverse customer base than CoreWeave and could benefit immensely if one of its earlier-stage customers hits it big.
