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Appaloosa Management is one of the most successful hedge funds and is managed by David Tepper. Although many of Appaloosa's investments such as distressed debt and other fixed income are not disclosed via 13F filings, the fund's equity portfolio has proven to be a source of excellent returns.
- Danny Vena
- Meta Platforms. Meta Platforms continues to be Tepper's top holding, largely unchanged since the prior quarter. The company's history of using AI to surface relevant content for users on its social media sites is well documented.
- Microsoft. Recognizing the vast opportunity ahead, Microsoft was quick off the blocks to integrate generative AI capabilities into its widely used workplace productivity tools and cloud infrastructure platform.
- Amazon. Amazon has a trifecta of successful businesses, including its industry-leading e-commerce and cloud infrastructure operations, as well as the company's No. 3 digital advertising platform.
- Nvidia. Nvidia is arguably the poster child for the AI revolution, as its graphics processing units (GPUs) are the gold standard not only for gaming, but also for data centers, speeding information through the ether.
- Danny Vena, The Motley Fool
- Meta Platforms. Meta Platforms might seem a surprising choice, but the company has a long history of using AI to bolster its business. The vast majority of Meta's revenue comes from digital advertising, and AI can more accurately surface relevant ads and other content on its social media sites.
- Microsoft. Microsoft saw the writing on the wall and invested $13 billion in ChatGPT creator OpenAI over the past few years, helping spotlight the potential for generative AI.
- Amazon. While some viewed Amazon as slow out of the gate, it has jumped into the AI opportunity with both feet. The company has long used AI to handle product recommendations, inventory levels, delivery routes, and more.
- Nvidia. No discussion about AI stocks would be complete without a nod to Nvidia, a point highlighted by Tepper's position. Nvidia pioneered the graphics processing units (GPUs) that revolutionized gaming and are the gold standard for AI applications.
His hedge fund, Appaloosa Management, has made billions of dollars over the years, earning returns of more than 28% annually (and 23%-25% net returns after fees). Image source: Getty Images.
- Matthew Dilallo
Appaloosa Management is an American hedge fund founded in 1993 by David Tepper and Jack Walton specializing in distressed debt. [4] Appaloosa Management invests in public equity and fixed income markets around the world.
Feb 8, 2023 · Fact checked by. Katrina Munichiello. David Tepper is regarded as a prominent investor and hedge fund manager. In 1993, Tepper co-founded Appaloosa Management L.P. With a net worth exceeding...
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Jan 4, 2024 · The legendary founder of Appaloosa posted another year of double-digit returns, an accomplishment few hedge funds can boast.