Top 10 Growth Stocks in David Tepper’s Portfolio

4. Alphabet Inc. (NASDAQ:GOOGL)

Appaloosa Management LP’s Equity Stakes: $358.40 Million

Number of Hedge Fund Holders: 234

Alphabet Inc. (NASDAQ:GOOGL) is a technology company that owns some of the most popular internet brands, including Google and YouTube. The internet giant also flexes its muscle in healthcare self-driving cars, artificial intelligence, and digital advertising. With over 90% market share, it is the dominant force in the search engine business from which it unlocks growth opportunities.

Artificial Intelligence presents a significant opportunity as the Google search engine leverages the technology to boost advertising campaigns and search results. Since advertisements account for almost three-quarters of Alphabet Inc.’s (NASDAQ:GOOGL) revenue, it is imperative that it maintains its leadership position in this area.

In addition to pursuing growth around the search business, cloud offerings have emerged as key growth drivers. Revenues in the cloud unit were up by 30% year over year in Q4 2024, which helped bolster the bottom line. Alphabet Inc. (NASDAQ:GOOGL) also announced plans to pay $32 billion to acquire cybersecurity startup Wiz. The acquisition will give Google Cloud another edge over its rivals by providing excellent cloud detection and response (CDR) security. The acquisition would provide Alphabet with a fresh growth opportunity and significantly increase its services.