TLDR
- Billionaire investor Peter Thiel sold his entire Nvidia stake of 538,000 shares and 208,000 Tesla shares during Q3 2025, generating $166 million.
- Thiel’s fund purchased 79,000 Apple shares and 49,000 Microsoft shares for approximately $43 million in total.
- The portfolio changes left Thiel with over $120 million in cash after Q3 transactions.
- The investment shift moves from volatile high-growth stocks to stable, mature tech companies with predictable cash flows.
- Apple and Nvidia trade at similar forward P/E ratios despite Apple’s single-digit revenue growth versus Nvidia’s triple-digit expansion.
Peter Thiel executed a major portfolio overhaul during the third quarter of 2025. The billionaire’s investment fund sold off high-growth tech positions and replaced them with industry stalwarts.
Thiel’s fund completely exited its Nvidia position by selling all 538,000 shares. The AI chipmaker stake was worth approximately $94 million based on Q3 average prices.
The PayPal co-founder also reduced his Tesla holdings. His fund sold around 208,000 shares of the electric vehicle maker during the quarter.
With Tesla averaging $347 per share in Q3, the sale generated roughly $72 million. Combined with the Nvidia exit, Thiel liquidated $166 million in tech stocks.
Building Positions in Tech Giants
Thiel redirected capital into two major technology companies. His fund bought 79,000 shares of Apple stock during the third quarter.
The investment firm also purchased 49,000 Microsoft shares. Both positions were new, as Thiel held zero shares of either company at the end of Q2.
The total cost for both purchases came to approximately $43 million. This figure falls far short of the $166 million raised from selling Nvidia and Tesla.
The difference means Thiel now holds more than $120 million in cash. These funds could be earmarked for private investments or reflect caution about public market valuations.
A More Conservative Approach
The portfolio changes signal a risk-reduction strategy. Microsoft and Apple represent stable investments with established market positions.
Both companies generate steady revenue and maintain consistent profit margins. Their stock prices experience less volatility compared to growth-focused competitors.
Tesla and Nvidia carry higher risk profiles despite strong recent performance. Tesla stock swung between $294 and $445 during Q3 2025.
Nvidia shares ranged from $153 to $187 in the same period. These wide price ranges demonstrate the volatility Thiel is moving away from.
The choice to swap Nvidia for Apple raises valuation questions. Nvidia has delivered explosive revenue growth driven by data center and AI chip demand.
Apple’s revenue growth has remained under 10% annually for several years. The iPhone maker faces market saturation in key product categories.
Valuation Puzzle
Despite their different growth trajectories, both companies trade at comparable valuations. Apple and Nvidia show similar forward price-to-earnings ratios.
This means investors pay roughly the same multiple for Nvidia’s rapid growth as they do for Apple’s modest expansion. The valuation similarity makes Thiel’s stock swap more puzzling.
Thiel built his reputation through early-stage tech investments. He co-founded PayPal and Palantir Technologies while becoming one of Facebook’s first outside investors.
His investment decisions carry weight in financial markets. The recent portfolio shift shows even successful investors change their approach based on market conditions.
The move toward defensive positions may indicate Thiel sees limited upside in high-valuation growth stocks. Alternatively, he could be preparing capital for opportunities outside public markets.
Nvidia averaged $174 per share during Q3 while Apple traded around $230. Microsoft shares averaged approximately $420 during the same timeframe.
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