David Tepper’s Appaloosa Management just told the market where the smartest money in the AI trade is parked. His latest 13F concentrates his largest US-listed common stock and ADR bets across five names that together map the entire AI stack: memory, foundry, cloud, hyperscaler, and the applied autonomous layer. One of them has quietly ripped 152.58% higher since the filing date. For investors tracking Tepper’s playbook, these five names map the full AI stack.
1. Uber Technologies (The Surprise Pick)
The wildcard in Tepper’s top five sits outside chips entirely: Uber (NYSE:UBER | UBER Price Prediction), and the thesis is applied AI on wheels. CEO Dara Khosrowshahi has staked the platform on a “clear path to becoming the largest facilitator of AV trips in the world,” with Zoox and Waymo partnerships routing robotaxi supply through the Uber app in Las Vegas and Los Angeles. Every autonomous mile ordered through the app is margin Uber does not pay a driver for.
The Q1 FY26 numbers say the flywheel is spinning fast. Gross Bookings hit $53.72 billion (+25% YoY), trips reached 3.6 billion, and Uber One membership crossed 50 million, driving half of Gross Bookings. Free cash flow of $2.286 billion funded a $3.011 billion buyback in the quarter. Q2 guidance calls for Non-GAAP EPS of $0.78 to $0.82, up 31% to 38%.
The read: Bullish setup. Shares sit at $73.00 with a base-case target of $122.61, implying 67.96% upside, and 88% of analysts are bullish. Tepper is early. The next name on his list is not.
2. Micron Technology (The Memory Monster)
If Uber is the wildcard, Micron (NASDAQ:MU) is the freight train. HBM is the choke point of every GPU cluster being stood up in 2026, and Micron is one of only three suppliers on Earth. CEO Sanjay Mehrotra has locked customers into multi-year Strategic Customer Agreements and pointed directly at the “strategic value of memory in the AI era.” HBM4 is shipping in volume; HBM4E arrives in 2027.
The fiscal Q3 2026 report went well beyond a simple beat into a fundamentals event. Revenue of $41.46 billion grew 345.7% year over year, GAAP gross margin expanded to 84.6% from 37.7%, and management guided fiscal Q4 to roughly $50 billion in revenue at approximately 86% gross margin. Seven straight EPS beats sit behind it.
The read: Constructive on the pullback. After ripping 199.12% year to date, MU is down 13.96% over the past week to $860.95. Analyst consensus targets $1,489.57, and the forward P/E of 6 is a joke relative to the earnings power. Which raises the question: who is Micron’s largest customer building for? Answer coming up.
3. Alphabet (The Cloud Cash Machine)
Alphabet (NASDAQ:GOOG) has done what almost nobody thought possible two years ago: turned Gemini into a monetization engine that is now bending the AI cloud market. Sundar Pichai told investors Gemini is processing 16 billion tokens per minute, up 60% quarter over quarter, with 350 million paid subscribers and Waymo delivering more than 500,000 autonomous rides per week. This is the AI monetization story that actually shows up in the P&L.
Q1 FY26 confirmed it. EPS of $5.11 crushed the $2.63 estimate by 94.1%, Google Cloud revenue jumped 63% to $20.03 billion, and cloud backlog nearly doubled quarter over quarter to more than $460 billion. Capex is going into overdrive at a $175 billion to $185 billion guide for 2026.
The read: Bullish thesis intact. Shares trade at $344.83 with a base-case target of $446.39, or 29.45% upside, and 89% analyst bullish consensus. But every one of these hyperscalers has to buy silicon from the same place. That place is next.
4. Taiwan Semiconductor (The Only Foundry That Matters)
Taiwan Semiconductor Manufacturing (NYSE:TSM) is the toll booth on every AI accelerator, every custom silicon program, every hyperscaler chip. NVIDIA, AMD, Apple, Broadcom, and yes, Amazon’s Trainium, all print at TSMC. The 2nm node just entered its first ramp quarter, and demand is already outrunning supply.
Yesterday’s Q2 FY26 report was a masterclass. EPS of $4.31 beat the $3.89 estimate by 10.89%, revenue rose 36.0% year over year to $40.20 billion, and gross margin hit 67.7% at the top of guidance. Advanced nodes at 7nm and below now represent 77% of wafer revenue, with 2nm debuting at 3% in its first ramp quarter. Full-year 2026 revenue growth is guided slightly above 40% in USD terms.
The read: Bullish setup. Shares at $396.67 target a base case of $489.17, or 23.32% upside, with an analyst target price of $498.24. Operating margin of 58.1% and ROE of 36.2% justify the premium. Which brings us to the customer writing the biggest checks.
5. Amazon (The $200 Billion Payoff)
Tepper’s largest single bet lands on Amazon (NASDAQ:AMZN), and the reason is the most audacious capital allocation decision in tech: a roughly $200 billion 2026 capex plan for AI infrastructure, chips, robotics, and Leo satellites. CEO Andy Jassy has already secured a ~2GW Trainium commitment from OpenAI (2027), up to 5GW from Anthropic, and more than 1 million NVIDIA GPUs deploying in 2026. The prediction market crowd puts the probability of 2026 capex clearing $200 billion at 87%.
Q1 FY26 already showed the flywheel monetizing. EPS of $2.78 beat the $1.73 estimate by 60.69%, AWS grew 28% to $37.59 billion (its fastest in 15 quarters), and the chips business is running above $20 billion with triple-digit growth. Advertising, at a $70 billion trailing-twelve-month run rate, is now a business bigger than most S&P 500 companies.
The read: Bullish thesis. Shares at $247.34 carry a base-case target of $324.47, or 31.18% upside, with 94% analyst bullish sentiment (15 Strong Buy, 47 Buy, zero Sell ratings). Even the model’s bear case projects 13.23% upside. Amazon is building the meter that charges everyone else to use the AI stack.
The Read Across Tepper’s Book
Five names, one thesis: the AI capex cycle is compounding faster than the models predicted, and Tepper is positioned across every layer of the stack. Micron sells the memory. TSMC prints the silicon. Alphabet and Amazon rent it back to the world. Uber applies it to a $150 billion mobility flywheel. The pullbacks in MU, GOOG, and TSM over the past week look like the entry point. A cleaner setup may not materialize before valuations reset higher.
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