Appaloosa Management

Appaloosa Management achieved a 26.29% return in 2025, outperforming #2-ranked Point72's 19% and surpassing the average hedge fund return by 18%. Founded by David Tepper in 1993, the firm excels in distressed debt, with a $6.9B portfolio by Q4 2025. Its recent shift to semiconductor concentration tripled Micron holdings and added Nvidia, TSM, and ASML—delivering 40% higher concentration than the typical rival. However, single-manager risk and a recent bank stock exit signal strategic evolution, making it best for accredited investors seeking high-conviction plays.