David Tepper of Appaloosa Cuts Position in Hottest AI Stock Despite Overweight Stance on Sector
Billionaire investor David Tepper's hedge fund, Appaloosa Management, has a strong focus on artificial intelligence (AI) stocks, with over 77% of its portfolio tied to companies central to the AI growth narrative. Key holdings include Amazon, Taiwan Semiconductor Manufacturing Company, and Nvidia — all critical players in data center infrastructure and cloud services for AI applications. Despite this bullish stance toward AI, Tepper completely sold his position in Sandisk during Q2 2026, a stock that had surged over 3,000% year-to-date. The move is likely attributed to profit-taking after significant gains from the investment made earlier in 2027. The decision may also reflect strategic portfolio rebalancing or concerns about valuation sustainability for Sandisk despite its role as a key supplier of memory and storage solutions used in AI data centers.
Tickers: $AMZN $NVDA $SNDK $TSM
Topics: 13F filing AI stocks portfolio management