Major investors including David Tepper and Bill Ackman scooped up companies capitalizing on the artificial intelligence arms race during the first quarter. So far this year, any stock tangentially connected to AI experienced a runup in value, with many popular names providing a long overdue lift to the overall market. Meta Platforms and Nvidia shares have more than doubled in 2023, while chatbot competitors Microsoft and Alphabet have surged at least 32% each.
mountain Nvidia shares in 2023 Both companies, responsible for making graphics processing units underpinning many AI creations, benefited from this year's AI mania. Nvidia's surged 114%, dwarfing Advanced Micro Devices' 63.4% gain. Many investors say AI tailwinds justify Nvidia's steep valuation and recent share boom. Outside chip stocks, Laffont unveiled a position in AI software C3.ai . Its shares are up 126% this year.