New York, May 15 - Two of Wall Street’s most closely watched billionaire stock pickers, both once vocal activist investors, took opposite tacks this year. Bill Ackman bet on Microsoft while exiting Alphabet, and Daniel Loeb did the reverse.
Ackman said on X his firm Pershing Square began building a new position in Microsoft in February after shares dropped, arguing investors undervalued its Microsoft 365 suite and AI investments.
Loeb’s hedge fund Third Point, however, sold 925,000 shares of Microsoft during the first quarter, liquidating a position held since late 2022, according to a regulatory filing.
Loeb’s Third Point also bought 175,000 shares of Alphabet in the first quarter, while Ackman sold most of his Alphabet position and exited the rest in the second quarter, a source said.
Both Pershing Square and Third Point established new positions in Meta Platforms during the quarter. Ackman told clients in February the social media giant will benefit from artificial intelligence. The filings indicate big investors are becoming more selective in the “Magnificent Seven” AI giants, which include Meta, Microsoft, and Alphabet.