Nvidia (NASDAQ: NVDA) is ideally positioned to be a major player in the market for physical artificial intelligence (AI), a technology that lets autonomous machines such as cars and robots understand, navigate, and interact with the real world. Nevertheless, certain hedge fund billionaires sold shares in the first quarter:

• David Tepper at Appaloosa sold 380,000 shares of Nvidia, reducing his position 56%.

• Steven Schonfeld at Schonfeld Strategic Advisors sold 901,900 shares of Nvidia, cutting his stake 72%.

  Meanwhile, those same hedge fund managers, and others, bought Uber Technologies (NYSE: UBER), a company well positioned to benefit from robotaxis and whose stock has soared 300% in the past three years.

  David Tepper added 1.7 million shares of Uber, upping his stake 113%. It ranks among his top 10 holdings.

  Steven Schonfeld added 50,400 shares of Uber, upping his stake 7%. It ranks among his top 30 holdings.

  Bill Ackman at Pershing Square Capital added 30.3 million shares of Uber, starting a new position that now ranks as his largest holding.

  More broadly, recently filed Forms 13F show that the number of large institutional investors (i.e., those with at least $100 million in securities) holding Nvidia declined 2% sequentially in the first quarter. Meanwhile, the number of large asset managers holding Uber increased 8%. Read on to learn more about these stocks.

  1. Nvidia
  Nvidia is the market leader in data center graphics processing units (GPUs), chips that are the industry standard in accelerating complex workloads such as training machine learning models and running artificial intelligence (AI) applications. Importantly, Nvidia holds more than 90% of the market in data center GPUs, and the market is forecast to grow at 28% annually through 2030.

  Nvidia has also developed a robust software platform called CUDA. It comprises developer tools such as code libraries, frameworks, and pretrained models that streamline the building of AI applications across multiple disciplines. For instance, Nvidia Drive is a platform for autonomous vehicles, and Nvidia Isaac supports autonomous robots.