Key Points
Billionaire investor David Tepper, through Appaloosa Management, made significant stock purchases in the fourth quarter of 2023, focusing on major tech players involved in AI. Tepper increased his stake in Alphabet by 29%, Meta by 62%, and Microsoft by 8%. These stocks, key components of the AI hyperscaler movement, have seen recent declines but are believed to represent potential buying opportunities.
During the same quarter, Tepper boosted his holdings in Micron Technology by 200% and increased his position in Taiwan Semiconductor Manufacturing by 7%. These companies are integral to the AI infrastructure, with Micron projected to grow its high-bandwidth memory market from $35 billion in 2025 to $100 billion by 2028. Taiwan Semiconductor anticipates a mid- to high-50% compound annual growth rate for its AI chip revenue between 2024 and 2029.
