In 2017, SoftBank spent about $4 billion to buy Nvidia, accounting for 49% stake. At that time, SoftBank Vision raised about $93 billion to sweep the tech market, and Nvidia reached one of its largest companies.
As of February 15, 2024, Nvidia's market capitalization is as high as $1.8 trillion, and if SoftBank puts that 49% of Nvidia's shares are held now, and the value of that stake will be $88.2 billion ($1.8 trillion 4.).9% = 88.2 billion), making $84.2 billion (a full 21 times earned), according to $1 71936 RMB, equivalent to 605.7 billion RMB. This is definitely SoftBank's most successful investment outside of Alibaba.
Sell at the wrong time
Coincidentally, SoftBank sold all of Nvidia in February 2019. The most critical thing is that SoftBank may have lost money on this investment in Nvidia, selling a total of 363.1 billion US dollars, a loss of about 50 billion yen (at the exchange rate of 3-400 million US dollars).
From 2017 to February 2019, Nvidia's stock price trend shows that SoftBank has not made any money, and it happened to be sold at the time of the ** trend, and it was almost sold out at the lowest point.
Nvidia stock price trend (2017-2019).
Artificial intelligence has propelled Nvidia's performance and stock price to soar.
In the first three quarters of 2023, the company's revenue was 388$1.9 billion, an increase of 8553%, net profit 1747.5 billion US dollars, a year-on-year increase of 49157%。
Nvidia revenue (2017-2022).
According to wind data, the market ** Nvidia will reach 842 revenue in 2024$4.7 billion, net profit of 40.7 billion$4.9 billion. If it is realized, in the entire semiconductor industry chain, only TSMC may be larger than the company's revenue and profits, and far ahead of other semiconductor companies.
Nvidia performance (2019-2025e).