David Tepper Divests Nvidia and AMD to Invest in High-Potential $200 Billion Market Opportunity

Key Points

• David Tepper fully exited his position in Advanced Micro Devices (AMD) and reduced his Nvidia (NVDA) stake by 93% as of March 31, 2025.
• Tepper’s fund, Appaloosa, has now purchased shares in Block, a fintech company, for the first time in four years, adding 75,000 shares.
• Appaloosa’s portfolio stands at approximately $8.4 billion, and Tepper sold a total of 14 holdings and reduced 19 others in the year prior.

Billionaire investor David Tepper’s fund, Appaloosa, reported significant reductions in tech stock holdings, particularly in AI hardware companies Nvidia (4.12 million shares sold) and Advanced Micro Devices (1.63 million shares sold), signaling a strategic shift in investment priorities as of March 31, 2025. In contrast, Tepper re-entered investment in Block by acquiring 75,000 shares, signaling renewed confidence in the fintech market, particularly its Square and Cash App segments, which present a combined addressable market of approximately $205 billion.

The moves come amidst concerns over potential market bubbles in AI technologies and competitive pressures from companies developing in-house AI chips, affecting Nvidia and AMD’s long-term positioning. Tepper’s trading activities illustrate a cautious approach while exploring new opportunities in the fintech sector during a time of market volatility.