David Tepper Trimmed Nvidia and AMD, but Doubled Down on This AI Stock
NVDA
Institutional Ownership, AI Sector, Portfolio Moves
Negative
Billionaire investor David Tepper's hedge fund, Appaloosa Management, reduced its position in NVIDIA (NVDA) during the quarter ended March 31, 2026, trimming its holding by roughly 13%, according to a 13F filing dated May 15, 2026. The fund simultaneously made a more significant cut to its AMD position while nearly doubling its stake in Amazon.
The portfolio adjustments suggest a reallocation within the AI investment theme rather than an outright exit from the sector. Tepper's decision to reduce NVIDIA exposure while aggressively increasing Amazon holdings may signal a preference shift toward cloud infrastructure plays over semiconductor manufacturers at current valuations.
Why it matters
Moves by high-profile hedge fund managers like Tepper are closely watched as sentiment signals; a trim in NVDA by Appaloosa could prompt scrutiny of the stock's near-term risk/reward profile among institutional investors. However, the reduction is relatively modest and does not represent a full exit from the position.
Key facts
Appaloosa Management trimmed its NVIDIA position by roughly 13% in Q1 2026 • The portfolio change was disclosed in a 13F filing on May 15, 2026 • Appaloosa simultaneously cut its AMD holding by roughly 32% • Amazon was the beneficiary of the reallocation, with Appaloosa nearly doubling its position there