Nvidia Is No Longer a Top-5 Holding for Billionaire David Tepper's Appaloosa -- Here's the Unstoppable AI Stock That Replaced It
The Motley Fool
by newsfeedback@fool.com (Sean Williams)February 19, 2026
AI-Generated Deep Dive Summary
David Tepper's Appaloosa fund has significantly shifted its focus away from Nvidia, with the tech giant no longer being a top-5 holding in the portfolio. Instead, Tepper has invested heavily in an AI company that is at the forefront of a rapidly growing market. This new investment has seen Tepper triple his stake in the AI firm, highlighting the potential for exponential growth in this sector. The addressable market for this AI company is projected to grow 32X by 2030, making it a prime target for investors seeking high returns.
Tepper's decision reflects his strategy of focusing on game-changing trends, particularly artificial intelligence. Known for his ability to identify emerging opportunities, Tepper has consistently allocated significant portions of his portfolio to companies driving innovation in AI and other transformative technologies. This shift away from Nvidia, which had been a key holding for years, underscores the evolving nature of investing in rapidly advancing industries.
The move also aligns with broader market trends, as more investors are turning to AI-driven companies amid rising demand for advanced technology solutions. The 13F filings, which reveal changes in institutional portfolios, provide valuable insights into these shifts and can serve as a guide for other investors looking to capitalize on emerging opportunities. Tepper's actions suggest that the future of investing lies increasingly in AI and related technologies.
For readers interested in finance and investing, this highlights the importance of staying attuned to trends like artificial intelligence, which are reshaping industries and offering lucrative investment prospects. The potential for high returns in AI makes it a key area for investors to monitor closely, as seen through Tepper's strategic reallocation of assets.
Verticals
financeinvesting
Originally published on The Motley Fool on 2/19/2026