TLDR
- David Tepper cut his Nvidia stake by over 10% and slashed AMD by two-thirds in Q4 2025
- He tripled his position in Micron Technology to gain exposure to the DRAM memory supercycle
- Tepper added to Taiwan Semiconductor Manufacturing, which makes chips for AI hardware
- He increased Alphabet by nearly 30%, Meta by over 60%, and Microsoft by 8%
- The moves shift focus from chip makers to AI infrastructure spenders and memory suppliers
Billionaire investor David Tepper made a series of portfolio moves in Q4 2025. His firm, Appaloosa Management, trimmed positions in two major AI chip stocks while buying into companies building and running AI infrastructure.
Tepper cut his Nvidia stake by more than 10%. He also slashed his AMD position by two-thirds. Despite the cuts, Nvidia still ranks as his seventh-largest holding.
The moves were not a retreat from AI investing. Instead, Tepper appeared to rotate into companies that use or support AI chips rather than just make them.
He tripled his position in Micron Technology. Micron makes high-bandwidth memory, which is bundled with GPUs to improve performance. DRAM, the memory type Micron produces, is in a supply crunch right now with demand running ahead of supply.
Tepper also added to his stake in Taiwan Semiconductor Manufacturing, known as TSMC. The company manufactures chips for Nvidia and other AI hardware firms.
Tepper Bets Big on Hyperscalers
The biggest moves were into the large cloud and tech platforms known as hyperscalers. These are companies that own and run massive data centers and are spending heavily on AI hardware.
Tepper increased his Alphabet position by nearly 30%. It is now his second-largest holding. Alphabet’s cloud unit is growing fast, and the company uses its own custom AI chips, which lowers its costs.
He raised his Meta Platforms stake by more than 60%, making it his fifth-largest position. Meta has been adding AI tools across its apps, which has helped lift both ad volume and ad prices. The company recently began running ads on WhatsApp and Threads.
Tepper also added to Microsoft, increasing his share count by 8%. Microsoft’s Azure cloud platform is growing quickly. The company also has a long-term commitment from OpenAI, which relies heavily on Azure for computing power.
Why the Shift Matters
The pattern across Tepper’s moves is clear. He moved away from pure chip stocks and toward companies that buy and deploy those chips at scale.
Micron and TSMC both sit in the supply chain that feeds AI hardware demand. Alphabet, Meta, and Microsoft are on the spending side of that equation.
None of these companies are directly linked to crypto markets. This was a pure AI infrastructure play across multiple layers of the tech stack.
Tepper’s most recent reported position as of Q4 2025 shows Alphabet as his second-largest holding, with Meta in fifth place and Nvidia still present in seventh.
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