Ackman Bets Big on AI Stocks
Pershing Square's Bill Ackman is making a big bet on AI stocks. According to its latest Form 13F filing, his $19.5 billion investment portfolio is concentrated in just four AI companies: Uber Technologies, Microsoft, Amazon, and Meta Platforms.
These four stocks make up 44.4% of Pershing Square's portfolio, with forward price-to-earnings (P/E) ratios ranging from 16.2 to 24.7 as of August 21. Ackman's focus on AI applications pioneers rather than infrastructure providers may be due to the potential for these companies to maintain their market share even if the AI bubble were to burst.
Uber, Microsoft, Amazon, and Meta possess sustainable moats that ensure robust operating cash flow. For instance, Uber has a significant lead in ride-sharing, while Amazon is the undisputed global leader in online retail sales. These companies are also well-positioned to continue growing even if there's a downturn in AI adoption.