Billionaire investor Stanley Druckenmiller announced on Tuesday that he has significantly decreased his significant investment in chipmaker Nvidia earlier this year. He believes that the rapid growth in artificial intelligence may have been overemphasized in the short term. "In late March, we decided to reduce our position in Nvidia, along with several other holdings. I simply needed a break. We've experienced an incredible run, and much of what we anticipated is now being realized by the market, " Druckenmiller disclosed on CNBC's "Squawk Box. " Explaining the decision further, Druckenmiller mentioned, "As the stock jumped from $150 to $900, I chose to cut back.

Although I admire Warren Buffett for his long-term approach, I do not typically hold onto investments for decades. I do wish I possessed his investment strategy, " he added. Nvidia has been the primary beneficiary of the recent tech industry's fascination with large-scale artificial intelligence models, which rely on the company's expensive graphics processors for servers. The stock outperformed the market last year with an impressive 238% rally. In 2024, the shares have already risen by an additional 66%.