Billionaire David Tepper shifts focus to invest in undervalued Chinese tech stocks like Alibaba.

From Nasdaq.: 2024-06-22 03:15:00

According to 13F filings, David Tepper of Appaloosa Management has seen impressive returns over the years, averaging 40% annually. In Q1 2024, he shifted his focus from U.S. tech to Chinese tech stocks, with Alibaba being his largest holding. This move may be linked to expected growth in the Chinese economy.

China has faced economic challenges due to factors like COVID-19 and regulatory changes. However, recent data indicates a potential turnaround, with positive manufacturing sector growth and government actions to stabilize the economy. Tepper’s shift to invest in undervalued Chinese tech stocks suggests confidence in China’s recovery.

Tepper’s team seems to have anticipated increased growth in China, leading them to invest in cheap Chinese tech stocks like Alibaba and JD.com. These stocks trade at low valuations and are implementing share buyback programs, indicating potential for growth. Tepper’s move may be driven by expectations of continued economic recovery in China.



Read more at Nasdaq.: Billionaire David Tepper Goes Bargain Hunting: 6 Stocks He Just Bought