Whether due to his outspokenness on a range of topics on the social media platform X or the strong returns from his company, Pershing Square Holdings, much of the market is always curious about what stocks billionaire investor Bill Ackman is buying and selling. It's arguably more intriguing because Pershing Square Capital Management, the investment manager of Pershing, holds only 10 to 12 stocks at any one time. In recent years, like many other investors, Ackman and his team have gotten more interested i ...

The impact of artificial intelligence, especially over the past year, has led portfolios to shift from traditional value stocks to growth stocks, while preserving diversification. Major hedge funds are increasingly adding the magnificent seven stocks to their diversified lists or increasing their existing bets. Billionaire hedge fund manager Bill Ackman, through his Pershing Square Capital Management, also appears to be playing by this playbook. In its latest 13F filing, Pershing Square revealed surpri ...

Core Insights - More than half of Pershing Square Capital Management's portfolio is now invested in high-profile artificial intelligence (AI) stocks, indicating a significant shift towards AI investments by the firm [1] - The deadline for institutional investors to file Form 13F with the SEC provides insights into the investment strategies of top money managers, including Bill Ackman of Pershing Square [2] Investment Focus - Bill Ackman has opened a $2 billion position in Meta Platforms, which represents about 10% of Pershing Square's invested assets, highlighting a strong belief in the long-term potential of AI stocks [5][12] - AI stocks make up over half of Ackman's portfolio, with significant investments in Uber Technologies (20%), Alphabet (19%), and Amazon (8.7%) [7] AI Market Potential - PwC analysts estimate that AI technology could create $15.7 trillion in global economic value by 2030, suggesting a vast opportunity for companies involved in AI [6] - Meta's integration of generative AI into its advertising platforms is expected to enhance click-through rates and improve ad pricing power, showcasing the tangible benefits of AI applications [13] Company Performance - Uber Technologies is Ackman's largest holding, with over 30 million shares purchased, and it relies heavily on AI for optimizing its ride-sharing services [8] - Alphabet has seen a 48% increase in Google Cloud sales during the fourth quarter, driven by the incorporation of AI tools [9] - Amazon Web Services, the leading cloud infrastructure platform, has reaccelerated sales growth through generative AI solutions, contributing significantly to Amazon's operating income [10] Meta Platforms' Valuation - Meta's current share price is viewed as undervalued, trading at 18.6 times forecast earnings per share in 2027, which is an 11% discount to its average forward price-to-earnings ratio over the last five years [17] - Meta's family of apps attracts an average of 3.58 billion daily users, providing strong ad pricing power and abundant operating cash flow [16]

Meta Platforms lobby with a large wall display showing the Meta logo in a sleek, modern office setting. Key Points After a post-earnings surge, shares of Meta Platforms are getting hit. However, a high-profile investor is showing his support, investing around $2 billion in the company. Pershing Square and Bill Ackman are clearly recognizing the power of Meta's AI-enabled advertising empire. Interested in Meta Platforms, Inc.? Here are five stocks we like better. Magnificent Seven giant Meta Platfor ...

Core Viewpoint - Pershing Square Capital Management, led by Bill Ackman, has invested approximately $2 billion in Meta Platforms, anticipating significant long-term benefits from artificial intelligence (AI) despite recent stock price declines [1][1]. Investment Strategy - The hedge fund allocated about 10% of its capital to the Meta investment, indicating a strong belief in the company's undervalued potential [1]. - Ackman’s team noted that Meta's stock has increased by 11% in 2025 and 3% in 2026 through February 9, despite a 7.4% decline over the past year [1][1]. AI Initiatives - Concerns regarding Meta's spending on AI initiatives have affected its stock performance, but the investment team believes AI will enhance content recommendations and personalized advertising, potentially increasing user engagement through AI-driven tools [1][1]. Market Position - Ackman has shown interest in major technology companies, having previously invested in Amazon and Alphabet, positioning Pershing Square as a significant player in the tech investment landscape [1][1].

Group 1 - Bill Ackman's Pershing Square Capital Management has revealed a stake in Meta, indicating a belief that the current share price does not reflect the company's long-term potential from AI [1] - Meta's shares have decreased by 16% over the past 12 months due to concerns regarding its spending on artificial intelligence [2] - Pershing Square argues that the fears surrounding Meta's AI-related expenditures are underestimating the company's long-term upside potential [2]

Core Insights - Nearly half of Pershing Square Capital Management's $14.6 billion in invested assets is concentrated in two trillion-dollar stocks and a leading company in a rapidly growing industry, particularly in artificial intelligence (AI) [1][5]. Investment Focus - The investment trend in AI has gained significant traction on Wall Street over the past three years, with major investors recognizing the multitrillion-dollar opportunities it presents [2]. - Bill Ackman, the head of Pershing Square Capital Management, is known for his activist investment strategy, focusing on undervalued assets and corporate changes to unlock shareholder value [4]. Key Holdings - Approximately 48% of Pershing Square's invested assets are linked to three prominent AI stocks, with Alphabet being the largest holding at 19% of the portfolio [5][6]. - Alphabet (GOOGL) is a major player in AI, leveraging generative AI solutions and large language models within its Google Cloud platform, which has seen a 47% year-over-year sales growth [8][10]. - Amazon (AMZN) constitutes 8.7% of the invested assets, with its Amazon Web Services (AWS) being the primary income generator, experiencing a 24% constant-currency sales growth [12][13]. - Uber Technologies (UBER) represents 20% of the invested assets, with its ride-sharing platform heavily reliant on AI for operations, and the global ride-sharing market projected to grow significantly [17][18][20]. Financial Strength - Alphabet ended 2025 with $126.8 billion in cash and equivalents, allowing for substantial investments in AI and other growth initiatives [10]. - Amazon also reported around $123 billion in cash and equivalents, providing ample capital for high-growth investments [16].

Group 1: Amazon - Amazon constitutes 8.73% of Bill Ackman's portfolio and is considered a strong long-term investment due to its diverse operations in e-commerce, cloud computing, AI, and digital advertising [2][5] - The company is working to improve its e-commerce margins by utilizing industrial robots to reduce fulfillment costs, which is expected to lead to lower costs and higher profits over the next decade [3] - Amazon's cloud division remains a core growth engine, with a significant addressable market as 85% of IT spending still occurs on-premises, indicating room for growth [5][6] Group 2: Alphabet - Alphabet makes up 10.52% of Ackman's portfolio and is a strong long-term investment, maintaining its dominance in the search engine market despite the rise of AI chatbots [7] - The company's digital advertising business is thriving, and its cloud division is experiencing rapid sales growth, with a cloud backlog of $155 billion, reflecting a 46% quarter-over-quarter increase [9][10] - Alphabet's investments in AI are enhancing user engagement and query growth, further solidifying its market position [7][10] Group 3: Uber Technologies - Uber is the largest holding in Ackman's portfolio, representing 20.25%, and is seen as a justified investment due to its strong financial performance and user growth [11][12] - The company benefits from network effects, with a growing customer base strengthening its competitive advantage [14] - Uber has significant growth potential as younger generations are driving less and may rely more on ride-hailing services, with only about 10% of adults in its top markets using the platform monthly [15][17]

Core Viewpoint - The proposed one-year 10% cap on credit card interest by President Trump has sparked mixed reactions, with some industry leaders believing it could lead to a significant contraction in credit card lending and a shift towards personal loans as an alternative for consumers [1][2][4]. Group 1: Industry Reactions - SoFi CEO Anthony Noto expressed that the cap could encourage consumers to transition from credit cards to personal loans, positioning SoFi to fill the resulting credit void [1][2]. - Billionaire CEO Bill Ackman criticized the cap as a "mistake," arguing that it would lead to credit card issuers being unable to sustain profitability, resulting in millions losing access to credit cards [4][5]. - Ackman highlighted concerns that capping rates at 10% would force consumers to seek credit from less reputable sources, such as loan sharks, which would offer worse terms [5][6]. Group 2: Implications for Consumers - If the cap is enacted, it could lead to a significant reduction in credit card lending, as issuers may cancel cards for many consumers unable to meet the new profitability standards [2][4]. - The need for borrower education and underwriting discipline becomes increasingly important in this scenario, as consumers may turn to personal loans to manage their debt [2][3].

Core Viewpoint - Bill Ackman, CEO of Pershing Square Capital Management, has publicly withdrawn his support for Congressman Ro Khanna due to Khanna's defense of a controversial wealth tax proposal in California, which Ackman believes contradicts Khanna's previous stance against taxing unrealized gains [1][2][3]. Group 1: Tax Proposal and Economic Impact - The proposed California initiative aims to impose a tax of up to 5% on the net worth of residents with assets exceeding $1 billion, regardless of whether those assets are sold [3][4]. - Ackman argues that such aggressive taxation could lead to a "self-destruction" of California's economy, warning that it may drive entrepreneurs and job creators out of the state, resulting in a loss of tax revenues and job creation [4]. - Reports suggest that prominent tech figures, including Peter Thiel and Larry Page, are contemplating leaving California to avoid the potential tax burden [4]. Group 2: Entrepreneurial Concerns - Venture capitalist Chamath Palihapitiya supports Ackman's concerns, stating that the tax could stifle entrepreneurship by forcing business founders to liquidate their holdings to pay taxes on unrealized wealth [5]. - The tax is characterized as a one-time 5% levy on all assets, which could significantly impact individuals who take minimal salaries and receive the majority of their compensation in equity [5].