Mutual funds remain sharply underweight Nvidia, AI stocks

Goldman Sachs data shared by Mike Zaccardi shows U.S. large-cap mutual funds are materially underweight Nvidia and several other AI leaders, suggesting professional investors have been cautious despite the sector’s strong rally. Nvidia is the largest underweight in the group at about 100 basis points, with AMD also underowned at roughly 60 bps. Google and Microsoft are underweight by around 70 bps and 50 bps, while Meta is underweight by about 30 bps. Micron is the notable exception, with funds overweight by roughly 40 bps. The positioning snapshot may be read as a sign that active managers have less exposure to the AI trade than the market narrative implies, which could leave room for further buying if performance continues or if fund managers chase the theme.