David Tepper Expands Stake in Micron, Cuts Alibaba Holdings
Billionaire investor David Tepper, founder of Appaloosa Management, tripled his fund’s investment in Micron Technology (NASDAQ: MU), purchasing 1 million shares during Q4 2025, raising his total to 1.5 million. This positions Micron as Appaloosa’s fourth-largest holding. The firm’s move comes amid skyrocketing demand for high-bandwidth memory (HBM) driven by artificial intelligence applications, leading to a gross margin increase from 38.4% to 56% year-over-year.
Simultaneously, Tepper reduced his stake in Alibaba Group (NYSE: BABA) by 57%, selling over 1.3 million shares in the same quarter. While profit-taking may explain the sell-off—Alibaba’s stock rose from the $80s to $192—Tepper’s actions may also reflect concerns about geopolitical tensions and changing valuations within the Chinese market.
