Billionaire Bill Ackman Reveals New Position in This Top Artificial Intelligence (AI) Stock

Core Viewpoint - Pershing Square Capital Management, led by Bill Ackman, believes that Meta Platforms stock is "deeply discounted" and presents a strong investment opportunity due to its robust user base and growth potential in digital advertising [1][9]. Group 1: Investment Strategy - Pershing Square has initiated a position in Meta Platforms, which now constitutes 10% of its capital [2]. - The fund has exited its position in Chipotle Mexican Grill and has also invested in Amazon, indicating a strategic shift in its portfolio [2]. Group 2: Meta Platforms Overview - Meta is a leader in digital advertising with over 3.5 billion users, representing nearly half of the global population, and has seen a 7% year-over-year increase in daily active users as of Q4 2025 [4]. - The company reported a revenue growth of 22% in 2025, supported by a founder-led management team with extensive experience [5]. Group 3: Monetization and AI Opportunities - Ackman highlights the potential for monetizing Meta's user base through artificial intelligence, which enhances ad targeting and facilitates automated ad generation [5]. - Meta is described as an "essential platform for businesses" aiming to optimize their advertising returns [5]. Group 4: Financial Metrics - Meta stock is currently trading at a forward price-to-earnings (P/E) ratio of 18.2, down from 21.2, indicating it is undervalued compared to its historical averages [8]. - The market's reaction to Meta's planned capital expenditure of approximately $165 billion for 2026 is seen as overly pessimistic, not reflecting the company's future growth opportunities [9].