Billionaire David Tepper Just Bought These 2 Artificial Intelligence (AI) Stocks That Wall Street Thinks Could Soar by 50% or More

Billionaire investor David Tepper's hedge fund, Appaloosa Management, expanded its artificial intelligence and technology exposure during the second quarter by initiating new positions in Space Exploration Technologies (SpaceX) and CoreWeave. Tech heavyweights such as Amazon, Micron Technology, Taiwan Semiconductor Manufacturing, and Alphabet already comprise roughly 50% of Appaloosa's portfolio, underscoring Tepper's concentrated bet on the AI infrastructure theme. Wall Street maintains a bullish stance on SpaceX, setting an average 12-month price target of $222.32, which represents approximately 50% upside from its current trading price of $148. The company demonstrated robust operational momentum during the second quarter, generating $7.8 billion in revenue—a 92% year-over-year surge—while narrowing its net loss to $541 million compared to $1 billion in the prior-year period. However, analysts caution that SpaceX's premium valuation of 69.1 times sales leaves little room for operational missteps, regulatory hurdles, or execution delays in its Starlink and Starship initiatives.