TLDR
- Stanley Druckenmiller sold all Nvidia shares (214,060) in Q3 2024 and nearly 770,000 Palantir shares between June 2024 and March 2025
- Druckenmiller warned in May 2024 that “AI might be a little overhyped now” suggesting concerns about a potential bubble
- TSMC has become Duquesne’s fifth-largest holding with four consecutive quarters of buying, totaling 765,085 shares
- Teva Pharmaceutical is now Duquesne’s second-largest holding with 15,968,935 shares accumulated over four quarters
- Druckenmiller’s selling may reflect concerns about Nvidia’s P/S ratio approaching 30 and Palantir’s P/S ratio of 137
Billionaire investor Stanley Druckenmiller has made major portfolio changes at his Duquesne Family Office. He completely eliminated positions in two of Wall Street’s hottest AI stocks while building large stakes in two other companies.
The AI Stock Selloff
Druckenmiller sold his entire Nvidia position of 214,060 shares during the third quarter of 2024. He also dumped nearly 770,000 shares of Palantir Technologies between June 30, 2024 and March 31, 2025.
Both companies have seen massive gains since 2023. Nvidia shares jumped close to 1,200 percent. Palantir stock rocketed higher by more than 2,800 percent over the same period.
The selling came despite both companies maintaining strong competitive positions. Nvidia dominates the AI chip market with its Hopper and Blackwell processors. Palantir’s Gotham and Foundry software platforms serve government and enterprise clients.
During a May 2024 CNBC interview, Druckenmiller suggested AI might be overhyped in the near term. He said the technology could be “a little overhyped now, but under-hyped long term.”
His comments point to concerns about an AI bubble. Every major technology innovation over the past three decades has experienced a bubble-bursting event early in its growth cycle.
Valuation concerns may have also driven the sales. Nvidia’s price-to-sales ratio approached 30. Palantir’s P/S ratio reached 137.
Megacap companies leading game-changing trends have historically topped out at P/S ratios between 30 and 40. These valuations have never been sustained by megacap companies for extended periods.
Four Quarters of Buying
While selling AI stocks, Druckenmiller accumulated shares of Taiwan Semiconductor Manufacturing Company for four straight quarters. TSMC is now Duquesne’s fifth-largest holding with 765,085 shares.
The chip manufacturer added 57,355 shares in Q3 2024. Q4 2024 saw 50,160 shares purchased. In Q1 2025, Druckenmiller bought 491,265 shares. The buying continued in Q2 2025 with 166,305 additional shares.
TSMC produces chips for Nvidia and other GPU makers. The company provides chips for smartphones, Internet of Things devices, and automobiles. TSMC closed at $292.19 in recent trading, up 1.42 percent.
The company is scheduled to report earnings on October 16, 2025. Analysts expect earnings of $2.56 per share, representing 31.96 percent year-over-year growth. Revenue is projected at $31.84 billion.
Druckenmiller also built a massive position in Teva Pharmaceutical Industries. Teva became Duquesne’s second-largest holding with 15,968,935 shares accumulated over four quarters.
He purchased 1,427,950 shares in Q3 2024. Q4 2024 saw 7,569,450 shares added. In Q1 2025, he bought 5,882,350 shares. Q2 2025 brought another 1,089,185 shares.
Teva has addressed past issues including opioid litigation and high debt levels. The company settled opioid claims for $4.25 billion spread across 13 years. Management reduced net debt through asset sales and operational cash flow.
CEO Richard Francis shifted focus toward novel drug development. Teva’s Austedo drug for tardive dyskinesia is on track to meet or surpass $2 billion in sales this year.
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