Although perhaps not as well-known amongst investors as some of his peers, Leon Cooperman is a towering presence on Wall Street. The billionaire investor started from humble beginnings as the son of a Bronx plumber who went to public schools, graduated from New York’s City University Hunter College, and then earned an MBA from Columbia University.
He worked on Wall Street developing Goldman Sachs (NYSE:GS | GS Price Prediction) asset management business before setting up his Omega Advisors hedge fund in 1991. He closed down the fund at the end of 2018 and retired, transferring much of his investments to a family office that invests on behalf of Cooperman, his family, and others.
However, Omega Advisors had an illustrious run over those 27 years, generating compound annual returns of 12.4% after fees compared to 9.5% returns for the S&P 500, including reinvested dividends.
His portfolio now holds over 50 stocks and has climbed to more than $3 billion in assets under management. Yet of those stocks, just three companies account for a massive portion of the total conviction. Let’s take a closer look at this trio to see whether they are right for your portfolio, too.
Rocket Companies (RKT)
Modern residential real estate and mortgage technology
Leon Cooperman recently rotated his mortgage-sector conviction into Rocket Companies (NYSE:RKT), which has surged to become his top overall holding. He currently owns approximately 21 million shares valued at over $400 million, representing roughly 13.5% of his total portfolio. This shift signals a pivot toward digitized mortgage platforms as the housing market looks toward a volume recovery.
Rocket’s market position is bolstered by its AI-driven “Rocket Logic” platform, which aims to reduce closing times and operational costs. With a significantly larger stake here than in his previous sector favorites, Cooperman appears to be betting on Rocket’s ability to capture market share through technological efficiency as mortgage application volumes normalize.
Energy Transfer (ET)
Oil pipeline at sunrise
Midstream operator Energy Transfer (NYSE:ET) remains a cornerstone of the portfolio, accounting for over 8% of managed assets. Following its Q1 2026 earnings report, the company raised its full-year Adjusted EBITDA guidance to a range of $18.2 billion to $18.6 billion. The firm continues to benefit from its vast 130,000-mile pipeline network that connects production basins to global markets.
A new growth catalyst for the company involves the expansion of infrastructure to serve AI data center sites, particularly in the Oklahoma region. By providing the natural gas required for massive on-site power generation, Energy Transfer is evolving into a critical player in the energy-intensive artificial intelligence build-out.
Vertiv Holdings (VRT)
Woman and man checking data center network
Cooperman’s investment in Vertiv Holdings (NYSE:VRT) has matured into a top-three powerhouse. The company recently reported a staggering $15 billion order backlog, fueled by the global demand for AI-ready data centers. Vertiv has solidified its “moat” by becoming a leader in liquid-to-chip cooling, a necessity for the heat-intensive chips used in high-performance computing.
In its most recent quarterly filing, Vertiv demonstrated 83% adjusted EPS growth, reflecting its dominance in the cooling infrastructure market. Cooperman’s 2.1 million shares have seen significant appreciation as the company’s stock price has scaled new highs, driven by its position as a primary supplier to hyperscale cloud providers.
Editor’s Note: This article has been updated to reflect Leon Cooperman’s liquidation of his Mr. Cooper Group (COOP) position and his new top-conviction investment in Rocket Companies (RKT). The profiles for Energy Transfer (ET) and Vertiv Holdings (VRT) have also been updated with Q1 2026 earnings data and a focus on AI data center infrastructure.
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