Giant U.S. Pension Sold Nvidia, Tesla, and Apple Stock. It Bought Rivian.
One of the largest U.S. pensions recently made big changes in some of its largest investments.
Teacher Retirement System of Texas sold Nvidia, Tesla, and Apple stock, and initiated a position in Rivian Automotive in the first quarter. TRS, as the pension is known, disclosed the stock trades, among others, in a form it filed with the Securities and Exchange Commission.
TRS declined to comment on the investment changes. As of Aug. 31, 2024, the fund was valued at $209.5 billion, making it the largest in Texas, and the sixth-largest in the U.S. by assets.
Nvidia stock dropped 19% in the first quarter, compared with a 4.6% slip in the S&P 500 index. So far in the second, shares are up 5.6%, while the index is up 1.3%.
Nvidia stock tumbled in late February after the company reported a strong January-ended quarter. President Donald Trump’s threats on chip tariffs loomed over upbeat numbers from the maker of artificial-intelligence chips. Nvidia said in mid-April it would record a $5.5 billion charge from the U.S., now requiring a license for exporting the company’s H20 processors to China and other countries.
TRS sold 804,110 Nvidia shares to cut its investment to 7,930,760 shares at the end of the first quarter.
The pension sold 67,065 Tesla shares in the first quarter to lower its investment in the electric-vehicle firm.
Tesla had seen a number of protests, along with acts of vandalism, at its outlets, in response to CEO Elon Musk’s role heading the Department of Government Efficiency. DOGE, as the agency is known, has been terminating federal positions in the name of streamlining. In April, Musk said his “time allocation to DOGE will drop significantly.”
Tesla stock dove 36% in the first quarter, and shares have gained 11% since.
Apple stock fell 11% in the first quarter, and shares of the iPhone maker have slipped 7.6% since the end of March.
Apple shares, along with the broader market, plunged in the wake of Trump announcing a raft of tariffs after the market close April 2. But the stock recovered in the middle of the month after the administration said that tech goods such as smartphones and PCs were going to be exempted from tariffs on China. Apple reported strong earnings for the March quarter in the past week, raised the dividend, and said most of the iPhones it ships in the current quarter will originate from India and Vietnam.
TRS sold 708,310 Apple shares to drop its holdings to 4,955,790 shares at the end of the first quarter.
The pension bought 110,970 Rivian shares in the first quarter. It hadn’t owned any of the EV maker’s stock at the end of 2024.
In late March Rivian said it was spinning off its low-profile “micromobillity” business; Rivian didn’t specify what products the business would make, but the designation includes electric scooters and e-bikes. Rivian met first-quarter estimates for EV deliveries, but shares slipped.
Rivian stock dropped 6.4% in the first quarter, but since then shares are up 11%.
Inside Scoop is a regular Barron’s feature covering stock transactions by corporate executives and board members—so-called insiders—as well as large shareholders, politicians, and other prominent figures. Due to their insider status, these investors are required to disclose stock trades with the Securities and Exchange Commission or other regulatory groups.