The Motley Foolยท2025-08-22 16:38Core Insights - Stanley Druckenmiller, a prominent investor, has made significant changes to his portfolio, notably exiting his position in Tesla and investing in Microsoft [1][2][3][10]. Tesla - Druckenmiller's Duquesne Family Office initiated its position in Tesla in Q4 2024 and exited in Q2 2023, indicating a short-term trading strategy [4][9]. - Tesla's stock was trading at approximately 190 times expected forward earnings, reflecting high valuations despite struggles in its core EV business [6]. - The expiration of the federal $7,500 EV tax credit at the end of Q3 could further impact Tesla and the broader EV industry [6]. - Investors are increasingly focused on Tesla's future initiatives, such as robotaxis and humanoid robots, rather than its current EV performance [7][8]. Microsoft - Duquesne purchased over 200,000 shares of Microsoft, valued at roughly $100 million, making it the second-largest company in the world by market cap [10]. - Microsoft's revenue from Azure and other cloud services exceeded $75 billion in Q2, marking a 34% increase year-over-year, driven by AI-related business [11]. - The company's AI business has surpassed an annual revenue run rate of $13 billion, reflecting a 175% year-over-year growth [12]. - Microsoft trades at a forward price-to-earnings ratio of nearly 33, close to its five-year average, and is noted for having a higher credit rating on its debt than the U.S. government [12].