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Is Alphabet (GOOG) The Best AI Stock for 2024 According to Billionaire David Tepper?

Alphabet Inc. (NASDAQ:GOOG) ranks 6th on our list of 10 Best AI Stocks to Buy for 2024 According to Billionaire David Tepper.

Click to see 10 Best AI Stocks to Buy for 2024 According to Billionaire David Tepper.

Billionaire David Tepper of Appaloosa Management recently made headlines when his latest portfolio showed the 66-year-old owner of Carolina Panthers was piling into Chinese stocks while clearly cutting his exposure to mega-cap tech stocks which have already rewarded him heftily over the past several quarters, thanks to the AI-led rally. Tepper’s bet on Chinese stocks comes at a time when many analysts are predicting a rebound of Chinese economy as the government begins to devise more rescue plans for the devastated property sector. The MSCI China index is up about 10% since the end of March.

David Tepper, who founded Appaloosa Management back in 1993, returned 20% last year, thanks to his huge stake in AI stocks. A cursory analysis of David Tepper, worth over $20 billion, shows that he was piling into AI stocks when they were just getting started. This wasn’t a fluke or a one-off success from the billionaire. Data from Bloomberg shows that Tepper has posted annualized returns of 28% for investors, before fees. In 2022, when markets were tumbling amid inflation storm and rising interest rates, Appaloosa returned 12.5%. Tepper’s instincts and grip over financial markets were strong even when he was in his late 20s and 30s, raking in huge profits for Goldman Sachs, which he’d joined in 1985.

Tepper rose to fame at Goldman when his portfolio stood out in the mist of the market crash of 1987. According to The Alpha Masters: Unlocking the Genius of the World’s Top Hedge Funds, written by Maneet Ahuja, Tepper recalled:

 “Going into the crash I had set up my entire portfolio as just short—I had no long positions. I made a fortune during and after the crash,” he says with a chuckle. “It was very cool.” Unfortunately, the rest of the firm didn’t do as well. “I still got a raise but not as much as I should have.”

Alphabet Inc. (NASDAQ:GOOG)

Billionaire David Tepper Q1’2024 Stake Value: $315,939,500

David Tepper first bought a stake in Alphabet Inc. (NASDAQ:GOOG) in the third quarter of 2024, gradually adding to his position over the years. However, the billionaire started decreasing his hold in Alphabet Inc. (NASDAQ:GOOG) significantly in 2021. In the first quarter, Appaloosa decreased its position in Alphabet Inc. (NASDAQ:GOOG) by 10%. The fund still owns a $316 million stake in Alphabet Inc. (NASDAQ:GOOG).

Bloomberg recently reported Alphabet Inc. (NASDAQ:GOOG) and Meta Platforms are in talks with major Hollywood studios to license content for use in AI video generation software.

Alphabet Inc. (NASDAQ:GOOG) is also one of the most popular AI stocks among the over 900 hedge funds tracked by Insider Monkey. As of the end of the first quarter of 2024, Insider Monkey’s proprietary database of hedge funds shows that 222 hedge funds reported owning stakes in the search engine giant, up from 214 funds in the previous quarter.

Bronte Capital Amalthea Fund stated the following regarding Alphabet Inc. (NASDAQ:GOOG) in its first quarter 2024 investor letter:

“Our biggest position is Alphabet Inc. (NASDAQ:GOOG), the holding company for Google. It is currently about 12 percent of funds under management. This has been a large position for over ten years.

We bought a large position in Google in October 20104, and the stock immediately dropped 11 percent.

That was an astonishingly good purchase and if we had held it all from October 2010 until the end of this month the gain would have been about 1300 percent.

Alas we did not hold it all. We have trimmed it many times – and it is now merely a large position. (We have lived to regret every single trim…)..” (Click here to read the full text)

Alphabet Inc. (NASDAQ:GOOG) ranks 6th on our list of 10 Best AI Stocks to Buy for 2024 According to Billionaire David Tepper.

If you are looking for an AI stock that is as promising as Microsoft but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: Michael Burry Is Selling These Stocks and Opportunities in Uranium Stocks.

Disclosure: None. This article is originally published at Insider Monkey.

AI Fire Sale: Insider Monkey’s #1 AI Stock Pick Is On A Steep Discount

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

The whispers are turning into roars.

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It’s the revolution reshaping every industry on the planet.

From driverless cars to medical breakthroughs, AI is on the cusp of a global explosion, and savvy investors stand to reap the rewards.

Here’s why this is the prime moment to jump on the AI bandwagon:

Exponential Growth on the Horizon: Forget linear growth – AI is poised for a hockey stick trajectory.

Imagine every sector, from healthcare to finance, infused with superhuman intelligence.

We’re talking disease prediction, hyper-personalized marketing, and automated logistics that streamline everything.

This isn’t a maybe – it’s an inevitability.

Early investors will be the ones positioned to ride the wave of this technological tsunami.

Ground Floor Opportunity: Remember the early days of the internet?

Those who saw the potential of tech giants back then are sitting pretty today.

AI is at a similar inflection point.

We’re not talking about established players – we’re talking about nimble startups with groundbreaking ideas and the potential to become the next Google or Amazon.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

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By investing in AI, you’re essentially backing the future.

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A New Dawn is Coming to U.S. Stocks

I work for one of the largest independent financial publishers in the world – representing over 1 million people in 148 countries.

We’re independently funding today’s broadcast to address something on the mind of every investor in America right now…

Should I put my money in Artificial Intelligence?

Here to answer that for us… and give away his No. 1 free AI recommendation… is 50-year Wall Street titan, Marc Chaikin.

Marc’s been a trader, stockbroker, and analyst. He was the head of the options department at a major brokerage firm and is a sought-after expert for CNBC, Fox Business, Barron’s, and Yahoo! Finance…

But what Marc’s most known for is his award-winning stock-rating system. Which determines whether a stock could shoot sky-high in the next three to six months… or come crashing down.

That’s why Marc’s work appears in every Bloomberg and Reuters terminal on the planet…

And is still used by hundreds of banks, hedge funds, and brokerages to track the billions of dollars flowing in and out of stocks each day.

He’s used this system to survive nine bear markets… create three new indices for the Nasdaq… and even predict the brutal bear market of 2022, 90 days in advance.

Click to continue reading…