David Tepper Tells Whirlpool to Take Care of Its Own Dirty Laundry - Moby BREAKING NEWS David Tepper is staring at Whirlpool’s board with the "astonishment" usually reserved for Bryce Young botching a fourth-down conversion. The billionaire founder of Appaloosa Management fired off a letter that CNBC’s Andrew Ross Sorkin first obtained. In it, he accuses the appliance maker of torching shareholder value through a large and unnecessary equity dilution. Tepper’s math is simple. The company raised capital a ...

The billionaire founder of hedge fund Appaloosa Management criticized Whirlpool, accusing the appliance maker of destroying shareholder value and calling for sweeping strategic changes. ...

Core Viewpoint - David Tepper, the billionaire founder of Appaloosa Management, criticized Whirlpool's board for destroying shareholder value and called for significant changes in strategy and leadership [1] Group 1: Shareholder Concerns - Tepper's letter to Whirlpool's board emphasized the need for a reevaluation of the company's current strategy and leadership [1] - The criticism comes as Whirlpool was the eighth-largest holding in Appaloosa Management's portfolio, valued at $282 million at the end of the fourth quarter [1] Group 2: Market Reaction - Following the news of Tepper's letter, shares of Whirlpool experienced a nearly 1% increase [1]

Billionaire fund manager David Tepper just made a massive $285 million bet on Micron (MU) stock, doubling down on the AI memory boom. Tepper’s hedge fund Appaloosa just disclosed a head-turning bet on Micron, turning the memory giant into one of the fund’s biggest holdings. That position now accounts for nearly 6% of reported assets. Micron has been one of the biggest beneficiaries of the relentless AI infrastructure boom, becoming one of the market’s hottest stocks as a result. For perspective, Micron ...

Core Insights - Michael Burry has terminated the SEC registration of his hedge fund, Scion Asset Management, indicating a shift away from managing external client funds [1][5] - Burry's recent activities include purchasing put options on AI stocks, specifically Nvidia and Palantir, reflecting his bearish outlook on the AI sector [3][4] - The termination of the hedge fund's registration allows Burry to operate without the pressures of client management, similar to other high-profile investors who have transitioned to family offices [6][7] Company Actions - Scion Asset Management was deregistered on Monday, managing approximately $155 million across four accounts as of late March [1] - Burry clarified his investment in Palantir, stating he bought 50,000 put option contracts at a premium of $1.84 per share, totaling an investment of $9.2 million, contrary to media reports suggesting a $912 million bet [4][5] Market Context - Burry's comments on the AI boom liken it to the dot-com bubble, raising concerns about inflated stock valuations as major indices reach record highs [2][3] - The move to deregister aligns with a trend among prominent investors who have opted to manage their own capital, freeing them from client obligations and allowing for more strategic flexibility [6][8]

Core Insights - 13F filings provide transparency into institutional investors' holdings but have significant limitations, including stale data and incomplete disclosures [12] Group 1: 13F Filings Overview - 13F filings are quarterly reports required from institutional investors with over $100 million in assets under management, aimed at providing insights into their trading activities [5] - These reports must be filed within 45 days of the end of each calendar quarter, with the latest filings expected following the third quarter ending on September 30 [4] Group 2: Common Pitfalls in Analyzing 13F Filings - Investors often mistakenly assume that positions listed in 13F filings are still held by the reporting firm, despite the potential for significant changes within the 45-day reporting window [2] - The notional values reported can be misleading, as they do not reflect actual positions held, exemplified by Michael Burry's reported short positions in Nvidia and Palantir [7] - Confirmation bias leads many investors to rely on 13F filings instead of conducting their own research, which can result in poor investment decisions [8] Group 3: Notable Investors to Watch - Warren Buffett's Berkshire Hathaway and David Tepper's Appaloosa Management are highlighted as two influential 13Fs, known for making high-conviction, long-term investments [9][10]

Core Viewpoint - David Tepper, founder of Appaloosa Management, emphasizes investing in undervalued stocks with strong fundamentals, disregarding market sentiment [1][2] Market Sentiment and Economic Outlook - Tepper expresses a cautious yet constructive outlook on the U.S. stock market, anticipating two more rate cuts by the Fed this year [2] - He highlights the importance of monitoring 10-year Treasury yields and 30-year mortgage rates, suggesting potential boosts for housing-related assets if rates decline [2] Investment Strategy - Tepper's investment strategy focuses on value and long-term growth, with a portfolio that includes energy stocks, Nvidia, and AI companies [3] - He encourages investors to remain engaged in the market, indicating ongoing opportunities despite economic challenges [3] Methodology for Stock Selection - The top 10 long-term stocks are derived from Appaloosa Management's Q2 2025 13F portfolio, focusing on companies held for at least five consecutive years [5] - Hedge fund sentiment is analyzed using Insider Monkey's database to rank stocks based on Appaloosa's stake percentage [5] Stock Highlights - **MPLX LP (NYSE:MPLX)** - Portfolio Holding Value: $29.80 million, representing 0.46% of Appaloosa's portfolio [8] - Expected Q3 2025 earnings per share: $1.10, with revenue estimated at $3.16 billion [9] - Average price target of $57 implies a 14.11% upside from current levels [11] - **Energy Transfer LP (NYSE:ET)** - Portfolio Holding Value: $89.87 million, representing 1.39% of Appaloosa's portfolio [12] - Wells Fargo maintains a Buy rating with a price target of $23, indicating a potential 34.03% upside [14] - Anticipated catalysts include new pipeline projects and expansions that could enhance growth [13]

Group 1 - Billionaire investor David Tepper believes that stocks are significantly overvalued but continues to invest due to the Federal Reserve's actions [1][2] - Tepper's hedge fund, Appaloosa Management, remains optimistic about the market primarily because the Fed has started cutting interest rates [2][4] - Despite concerns over inflated valuations and a lack of strong fundamentals, Tepper acknowledges the market's upward momentum driven by liquidity and policy direction [3][4] Group 2 - Appaloosa Management's top 10 holdings as of Q2 2025 reflect a concentrated portfolio with significant investments in technology, healthcare, and energy sectors [4][5] - The top holdings include Alibaba Group (12.4%), UnitedHealth Group (11.9%), and Amazon.com (9.2%), indicating a strategic focus on high-conviction stocks [5]

Core Viewpoint - Hedge-fund investor David Tepper expresses a mixed sentiment about the U.S. stock market rally, indicating that while he sees potential for continued growth due to Federal Reserve rate cuts, there are concerns about valuations and the risk of overheating the market [1][2][3]. Market Performance - The U.S. stock market has experienced significant gains in 2023, with the S&P 500 index up approximately 13%, the Dow Jones up 8.7%, and the Nasdaq Composite up 16.5% as of Thursday [2]. - The Russell 2000 index, which tracks small-cap stocks, is also approaching record levels, while the real estate sector has shown signs of recovery due to optimism surrounding rate cuts [2]. Federal Reserve and Interest Rates - Tepper acknowledges the Federal Reserve's recent interest rate cut, the first in nine months, and anticipates two more cuts within the year, which could support the economy [3]. - However, Tepper cautions that further rate cuts could be complicated, especially as stock valuations are already high, suggesting a need for careful management to avoid excessive market heat [3]. Investment Focus - Tepper is monitoring 10-year Treasury yields and 30-year mortgage rates, believing that housing-related assets could benefit from falling rates, particularly if the Trump administration influences Fed policy on mortgage-backed securities [4]. - Last year, Tepper made a significant investment in China, which he reports has yielded positive results, indicating a strategic approach to international markets [4].

Core Viewpoint - Hedge fund billionaire David Tepper expressed concerns that while the Federal Reserve may cut rates further, excessive cuts could lead to inflation and economic risks [1][2]. Group 1: Federal Reserve Actions - The Federal Reserve recently lowered interest rates by a quarter point, marking the first cut of the year, with indications of two more reductions to follow [2]. - Tepper warned that cutting rates without fully controlling inflation could lead to increased demand outpacing supply, potentially reigniting price pressures [2]. Group 2: Market Valuations and Investment Strategy - Tepper acknowledged that market valuations are high but indicated he would not short stocks while the Fed is in an easing phase, suggesting a cautious approach to investment [3]. - He noted the challenge of not owning stocks given the Fed's anticipated further cuts, despite concerns over high multiples [3].