Home / Business and Economy / Appaloosa Cuts Bets: What Tepper Kept Matters
Appaloosa Cuts Bets: What Tepper Kept Matters
17 Aug
Summary
- David Tepper's firm exited 12 positions, including major tech and defense stocks.
- The fund maintained significant stakes in Micron and Baidu, signaling continued conviction.
- Q2 2026 filings reveal a strategic shift from broad thematic bets to single conviction plays.
Appaloosa Management, led by David Tepper, completed a portfolio overhaul in the second quarter of 2026, shedding 12 entire positions. Filings on August 14, 2026, reveal a strategic narrowing of thematic bets into concentrated, conviction-driven investments.
The exits included prominent names like SanDisk, defense contractors RTX and L3Harris Technologies, and Chinese technology firms PDD Holdings and JD.com. Tepper's fund also divested from Microsoft and Lyft.
However, Tepper maintained and even increased certain positions, notably holding nearly one million shares of Micron valued at over $1.1 billion and increasing his Baidu stake to over 1.2 million shares. These retained positions signal continued strategic focus.
The firm's Q2 2026 performance was reportedly strong, driven by memory chip makers, yet the exits from SanDisk and other chip stocks indicate a selective approach. The complete divestment from defense stocks contrasts with continued investment in specific Chinese tech companies.
