NVIDIA (NVDA) Rebounded from the Previous Lows

Mar Vista Investment Partners, LLC, an investment management company, released its “Mar Vista Global Quality Select Strategy” second-quarter 2025 investor letter. A copy of the letter can be downloaded here. The first half of 2025 concluded on a historic note, as global equities shrugged off earlier turbulence to close at record levels. The rebound in the U.S. stock market challenges investors' confidence in shifting their focus to Europe. In the second quarter, the strategy returned +12.98% net of fees, compared to +11.47% and +11.53% returns for the MSCI World Net Index and the MSCI All Country World Net Index, respectively. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second quarter 2025 investor letter, Mar Vista Global Quality Select Strategy highlighted stocks such as NVIDIA Corporation (NASDAQ: NVDA). NVIDIA Corporation (NASDAQ:NVDA) offers graphics and compute, and networking solutions. The one-month return of NVIDIA Corporation (NASDAQ:NVDA) was 15.59%, and its shares gained 26.97% of their value over the last 52 weeks. On July 10, 2025, NVIDIA Corporation (NASDAQ:NVDA) stock closed at $164.10 per share, with a market capitalization of $4.032 trillion.

Mar Vista Global Quality Select Strategy stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its second quarter 2025 investor letter:

"NVIDIA Corporation (NASDAQ:NVDA) shares rebounded from their calendar Q1 lows as investor concerns over DeepSeek’s efficiency gains and U.S. government restrictions on advanced AI semiconductors, such as NVIDIA’s H20 family of GPUs, proved overstated. Demand for NVIDIA’s next-generation Blackwell platform remains strong, fueled by the growing complexity of large language models and the emergence of reasoning-based applications. As CEO Jensen Huang noted, reasoning tasks can require up to 10 times the compute power of training a conventional large language model. With the AI market still in the early stages of a multi-year infrastructure build-out, NVIDIA is well-positioned to capture significant value as the industry standard for accelerated computing."

NVIDIA Corporation (NASDAQ:NVDA) is in 5th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 212 hedge fund portfolios held NVIDIA Corporation (NASDAQ:NVDA) at the end of the first quarter, which was 223 in the previous quarter. NVIDIA Corporation (NASDAQ:NVDA) reported another record quarter in fiscal first quarter of 2026 with $44 billion in revenues, representing a 69% year-over-year increase. While we acknowledge the potential of NVDA as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we covered NVIDIA Corporation (NASDAQ:NVDA) and shared the list of best semiconductor stocks to buy according to Reddit. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.