Little-Known Tech Investor Allocates 40% of Portfolio to 4 AI Stocks

Key Points

• Taiwan Semiconductor Manufacturing (TSMC) is set to benefit from growth in the semiconductor industry, regardless of chip designer outcomes.

• Nvidia and AMD are focusing on hardware for inference and agentic AI markets, with Nvidia holding a substantial share of the large language model training market.

• Broadcom anticipates custom chip revenue surpassing $100 billion by fiscal 2027, driven by partnerships with hyperscalers like Alphabet.

Glen Kacher, founder of Light Street Capital, has seen his fund yield significant returns of 45.7% in 2023, 59.4% in 2024, and 37.3% in 2025. His top four holdings include Taiwan Semiconductor Manufacturing (14.4% of the portfolio), Nvidia (8.9%), Broadcom (8.7%), and Advanced Micro Devices (8.4%). TSMC maintains a dominant position in advanced chip manufacturing, essential for AI technology, while Nvidia leads in AI infrastructure with robust GPU sales.

Broadcom is poised for tremendous growth with its custom AI chip business, having developed Tensor Processing Units for Alphabet. Analysts project Broadcom’s AI revenue could reach $180 billion by fiscal 2028, up from under $64 billion in fiscal 2025. AMD’s strategic developments in inference AI and data center CPUs are also expected to drive significant revenue growth, backed by two major deal commitments worth around $100 billion each.